How Much Do Debt Settlement Lawyers Cost?
Debt settlement law firms have their own rates and their own way of charging for their services, so the costs to do debt settlement with financial attorneys
will differ from place to place.
Still, the piece of mind from a debt settlement lawyer that he or she will get your debt taken care of using the law is worth it. If you are deep in debt it is recommended you speak with a debt settlement lawyer soon to help you on the road to debt relief.
Most often, debt settlement lawyers are used for large amounts of debt, say at least $25,000 for those who have stable incomes but have still gotten themselves in deep trouble with the type of debt they can’t get rid of.
They can also be used for people who are in debt and just lost their job or have had some other type of issue.
No matter your situation, it is recommended to get some legal advice from debt settlement lawyers, who usually give you a free consultation to get debt relief. It is better to get advice from a lawyer than to fall into a debt settlement scam.
Ways a Debt Settlement Attorney will Charge You
There are various ways that a debt settlement lawyer will charge you for their services to get you debt relief.
Some ways include:
- By the hour
- Up front costs
- Based on how much debt you owe
- Based upon how much they save you
The ways debt settlement lawyers charge you can include one or more of these options.
Most debt settlement lawyers will charge you by how much they save you, so with this, you can be sure they will be working their best to get you the most taken off the debt you owe. The more you save, the more they make.
On average with debt settlement lawyers, if they charge on how much they save you, usually they get around 20 to 25 percent of the actual savings. So if they get you 40 percent off your debt that means after lawyer fees, you still get 30 percent off your debt.
On the other hand, a recent study said overall in 2008 with debt settlement lawyers, the costs on average was 10 to 15 percent of the total debt not just the savings. So if you have $30,000 in debt and get as much as 50 percent off your debt, your costs will be $3,000 to $4,500 and you are saving $15,000. So in the end, you are still saving more than $10,000.
Whether they charge by the savings or by the overall debt, the costs are going to be about the same and you will have a big chunk of your debt taken off the books.
No matter what the costs, a debt settlement lawyer is always the way to go when looking for debt relief. Their experience and the fact that the law is on their side is better than doing things yourself or going to a debt settlement company which might not get you the same savings.