Debt settlement industry insider Scott Johnson sent me this interesting chart based on the numbers he has reviewed from the different models.
His data shows consumers are graduating at higher rates and getting lower settlements from performance based debt settlement companies.
He determined, a performance based debt settlement model will result in 57.5% of consumers paying back between 57% – 75% of their debt while 42.5% will fail. That’s a great success rate as compared to his 90% failure rate on the advanced fee models.
Debt Settlement Fee Structure in Relationship to Client Success Rates by Steve Rhode
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