Frequently Asked Questions
We know you have questions. And we’ll have answers.
Choose from the questions below or ask your own.
What is Business Debt Settlement? →
Based on a legitimate financial difficulty and specific client qualifications, many creditors are willing to forgive a portion of what is owed on business debts. This is because to a creditor, negotiating a past due debt means they have a chance of recovering some or most of the debt. SettleSource’s expertise is commercial debt negotiation, a legal, ethical and professional process which achieves significant discounts to resolve (settle) accounts on behalf of our business clients.
How will engaging SettleSource’s services affect my credit score? →
This is not a program to save your credit, but rather to settle your debts and preserve vital cash flow to SAVE YOUR BUSINESS! Credit is reparable, and can be addressed once your debt is gone.
Where does my money go? →
Upon enrollment in our program you will begin making monthly deposits to your own individual, FDIC insured "Special Purpose" savings account.
When and how do my creditors get paid? →
We base our negotiations on lump sum or termed settlements, and our program is structured to allow sufficient funds to accrue to utilize to settle accounts incrementally or all at once. We leverage timing and your unique circumstance to attain the best possible discount on your accounts. The settlement process typically occurs after the accounts are delinquent. Creditors are paid upon reaching a mutually agreeable settlement and only after securing proper documentation.
Can I negotiate my own debt? →
Over many years our company and staff have founded solid and trusted creditor and collection agency relationships. This enables us to succeed at gaining the appropriate workouts with your creditors. Handling matters yourself often inhibits successful negotiations primarily because you don’t have relationships with those authorized to settle your accounts and may be emotionally attached to the outcome. As well, if you are delinquent or have broken previous promises to pay you have simply lost credibility with your creditors. These are some of the reasons that creditors prefer to deal directly with SettleSource, a neutral third party negotiator. Our involvement insures that debt issues are being managed in a professional manner with a proven plan in place to achieve financial stability on behalf of the business. Furthermore, financial stress and pressure do not affect our judgment in making determinations about what the best deal is for your business. You will always have the final approval on any proposed settlement amount.
How is SettleSource compensated? →
Our program fees are included in your monthly program payments. Our settlement fees are success based, and are twenty-five percent of the amounts we save off actual balances due. Settlement fees are paid only after reaching a mutually agreed to settlement and after creditors are paid.
Isn’t bankruptcy an alternative to resolving my debt? →
For many, Bankruptcy is an alternative, but usually it is a costly last resort. You should know that our services resolve debt far more effectively than a bankruptcy.
Here are the key reasons:
Here are the key reasons:
- Our program is discrete and avoids public court filings, listings and notices.
- Our fees are substantially less than filing high cost Ch. 11 bankruptcy.
- You maintain control of your company and its assets.
- We negotiate discounted settlements on the amounts owed, thus getting your debts paid for less and in a shorter time period.
- Our services will not create the derogatory long term affects that filing bankruptcy will have on your future creditworthiness.
Will we be able to acquire credit in the future after settling debts? →
A majority of credit card companies are willing to offer subsequent lines of credit and re-establish relationships with you. If you have vendors and suppliers we will do our best to ensure the businesses ability to utilize them in the future.
Can we keep vital supply lines open? →
Yes, we encourage you to select only the creditors that are not critical to your business. If you are unable to pay a “vital supplier” than please inform us of this and we will look to address the matter accordingly.
Why are creditors willing to settle? →
Most creditors recognize that a struggling business eventually shut its doors or files for bankruptcy protection. They have a bottom line as well and often prefer to discount debt, than wait years or increase losses by engaging in legal or collections activities that may not provide desirable results.
What about settling Lawsuits, Judgment or Liens? →
We are aware that lawsuits cost precious time and money. If a suit has occurred or is pending, we can mediate terms to get the debt paid at a discount, or over time. Judgments will likely institute aggressive collections in some cases; garnished bank accounts or receivables; seizure of assets and other very undesirable tactics. We can help diffuse the collections process and get the matter resolved for the least amount possible. Liens can be negotiated and removed.
What if my bank took money from my business checking account after I missed a payment → 
How long does the debt settlement process take? →
Have an Unanswered Question? Just ask.
July 2010 - Alternatives to Business Bankruptcy Ways to get your Business Out of Debt Read More »
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2010 SettleSource, Inc. All Rights Reserved
2010 SettleSource, Inc. All Rights Reserved
