What is Debt Settlement?

Debt-Settlement-by-Full-Circle-Total-Debt-SolutionsDebt settlement is a process of negotiating to pay less than the full amount of your debt, with a one-time, lump-sum payment. Most creditors are willing to do this with unsecured loans. They would rather get back some of their money as opposed to none. So, if you are having trouble paying back your loan, creditors will often be willing to settle for less than the total loan amount.

What is the Process?

Debt settlements can be negotiated by a Debt Settlement Professional, or you can negotiate a settlement for yourself. However, the process typically involves a Debt Settlement Agent. When you enter a contract with a Debt Settlement Agent, it is best that you stop making interest or principal payments to your creditors and instruct them to contact your Debt Settlement Agent. This process only works if you have the lump sum payment available, Full Circle Total Debt Solutions will only enter into the Debt Settlement process with clients that have the ability to deposit the settlement funds into Full Circle Total Debt Solutions’ Trust account, this is so we can provide payments to your creditors as soon as they accept the settlement offer.

Debt Settlement Agents with Full Circle Total Debt Solutions will negotiate settlements individually with each of your creditors. Debts that cannot be included are secured loans such as car loans and mortgages, income tax debts, student loans and certain other unsecured loans.

When you work with our Debt Solutions Specialists, we assess your current situation and make sure that debt settlement is the right solution for you.

What qualifications are needed?

  • More than $10,000 in unsecured consumer debt, otherwise debt consolidation may be a better option for you. Demonstrated financial hardship in repaying your debt. If you are making payments, a creditor will not be willing to negotiate with you. The highest success is with debts that are more than 90% in arrears, creditors will believe your financial hardship.


  • Attractive to those who already have a low credit score.
  • You pay back less than what you owe.
  • Average fees for the debt settlement agent range from $2,000 to $5,000 but vary between Debt Settlement Agencies.

If you need help finding the option that will help you reduce your debt payments and get out of debt as quickly as possible, call a certified credit counselor at 1-877-220-3328 or get started online for a free analysis of your financial situation or simply chat with us now. You could be just minutes away from debt relief.

Find Out If You Qualify

Take the first step toward living debt free. Get a free evaluation within 24 hours:

Safe and Confidential. We will never share your information with anyone for any reason.

Recent Blog Posts