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Debt Settlement  in California
Call Today: (877) 274-1260
If you successfully complete our program, it’s possible that you’ll enjoy these benefits:
Settle your debts for less than you owe
  (read here for full details about how much you can expect to save)
Resolve your unsecured debts in 18 to 60 months
  (read here for full details on how long our program lasts)
No Up Front Fees - Don't Pay Till You See Results!
California  Debt Settlement

(The author of this article is not a lawyer, nor should this article be substituted for legal advice by a practicing attorney. For advice regarding your situation, please contact a lawyer.)

Debt settlement, also known as debt negotiation or debt reduction, is a relatively new way for dealing with your debt problems. In a debt settlement program, by negotiating with a creditor, it is possible a client may be able to settle their debts for less than the balances they owe and as a result get out of debt much faster than just paying the minimums.

Debt settlement is a good solution for consumers feeling overwhelmed with credit card debt that find themselves either falling behind on their payments or just able to afford the minimums. Considering the savings, in may be worth considering if you find yourself in any of the aforementioned situations. As with any debt solution, however, there are potential downsides to debt settlement that should always be considered prior to enrollment. First, debt settlement may have an adverse impact on your credit.

Two other drawbacks to consider before choosing debt settlement include 1) the possibility of legal action being taken by the creditor to collect the full balance and 2) the possibility of creditors harassing you until the debt is settled.  All three of these disadvantages stems from the fact that payments are not made to creditors during the course of the program except when a resolution has been made on an account. 

Although there is little that can be done in the way of protecting one’s credit or stopping legal action if a creditor decides to pursue this avenue, one advantage of debt settlement in California is that there are highly favorable state collection laws that do not exist in other states, which prohibit certain types of creditor harassment.

California Debt Settlement  and California Collection Laws
Every state has laws that say if a collections agency is collecting a debt, they are legally obligated to stop contacting a consumer if the consumer sends a Cease and Desist letter and/or a Power of Attorney notifying the collection agency that a third party is responsible for handling all communications with the creditor. California law takes it a step farther and not only limits harassment from collection agencies, but also from the original creditor as well. In most states, when a consumer falls behind on their payments and the debt is still being collected by the original creditor (the bank that originally lent you the money or the hospital that serviced you, for example), then the creditor is reserved the right to call the debtor on a daily basis in order to collect whatever is owed, and although debt settlement companies servicing these clients can very easily reduce the calls (changing of your phone number and address and notifying the creditor that you are seeking third party help, for example), no one can ever make the calls completely stop.

Although there are legal protections from harassing phone calls for California clients, they should expect calls in the program, however.  That said, the protections offered go above and beyond most states, giving the client more rights and remedies for violations made.  Also, please note that since Franklin Debt Relief is not a law firm, however, we cannot help you to exercise your rights under these laws, although we can certainly help direct you to the resources necessary for you get protection from creditor harassment such as lawyers who specialize in helping in these types of situations. 
Debt Settlement in California  and Community Property Laws
If you are married, reside in California, and are seeking debt settlement services, you should enroll any and all debts that were accumulated during the marriage by both you and your spouse. Just because the debt is owned by only one partner the other partner is not exempt from having to pay for it as well under California law, unless it was accumulated before you were married. Creditors know that both husband and wife are liable for each other's debts and may use it to their advantage in the collections process.  That means they can potentially execute a judgment against your spouse if in fact they win a judgment in court against you for a past due account.  Please make note of the fact that Franklin Debt Relief is not a law firm and cannot represent you in court if this happens.  Consult with an attorney for legal advice for your situation. 

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