Before you pay for debt settlement, ask these 7 questions to find the right company

Debt settlement can help if you're struggling to keep up with your bills. But not every company offering these services has your best interests at heart, and choosing the wrong one could leave you in even deeper financial trouble. Before you sign up, ask these key questions. Questions to ask before debt settlement agreement Struggling to pay off debt? Consider enlisting the help of a debt relief company Offers in this section are from affiliate partners and selected based on a combination of engagement, product relevance, compensation, and consistent availability. According to National Debt Relief, clients who complete its debt settlement plan can reduce their enrolled debt by an average of 20% to 25%, after fees. What fees will I pay (and when)? Debt settlement companies typically charge a fee for their services, usually based on either the amount of debt you enroll in the program or the amount they save you through negotiations. Fees commonly range from 15% to 25% of the enrolled debt, though costs can vary by company and state. Under federal rules , for-profit debt settlement companies generally cannot charge fees until they've successfully settled or reduced at least one of your debts, you've agreed to the settlement and you've made at least one payment toward it. If a company asks you to pay up front before settling any debt, that's a major red flag. …