Debt relief sounds like a lifeline when you’re drowning in bills, right? But what if the person throwing you that lifeline is just trying to reel in a commission? In this episode of the Get Out of Debt Guy Podcast, Damon Day and I peel back the curtain on the shady tactics some debt relief companies use to trap unsuspecting consumers.
šļø Hit play on the podcast below to hear the full conversation and protect yourself from these scams.
Do You Have a Question You'd Like Help With? Contact Debt Coach Damon Day. Click here to reach Damon.
Why Debt Relief Salespeople Lie
Many people in debt are in panic mode, desperate for a solution. Unfortunately, some debt relief companies take advantage of this vulnerability. Salespeople often push specific programs not because they’re right for you, but because they get paid when you sign on the dotted line. In the podcast, Damon and I share stories of clients who followed bad advice and ended up in even worse financial situations.
Commission-Driven Debt Relief: A Recipe for Disaster
Debt relief salespeople arenāt usually financial expertsāthey’re sales professionals incentivized to close deals. The more they sell, the more they earn. We discuss the most common lies, including promises like āyou’ll be debt-free in 24 monthsā and āthis program won’t hurt your credit.ā If it sounds too good to be true, it probably is.
Red Flags to Watch For
In the episode, we outline the biggest warning signs that you’re dealing with a commission-driven salesperson:
- Upfront Fees: Legitimate debt relief programs don’t ask for large fees before delivering results.
- Too-Good-To-Be-True Promises: Claims like āguaranteed resultsā or ādebt-free fastā should raise alarm bells.
- Pressure Tactics: Salespeople who rush you into a decision are usually more concerned with their paycheck than your financial health.
Debt Relief Options Explained
Not all debt relief is bad, but understanding your options is critical. In the podcast, we break down the pros and cons of:
- Debt Settlement: Can reduce what you owe but may damage your credit.
- Credit Counseling: Helps with budgeting but won’t erase your debt fast.
- Bankruptcy: Often misunderstood but sometimes the best path to a fast fresh start.
How to Protect Yourself from Debt Relief Scams
We discuss practical steps you can take to avoid falling into these traps, like:
- Researching companies with the Better Business Bureau.
- Consulting with a qualified financial advisor.
- Asking tough questions, like āHow are you compensated?ā
Tune In to the Full Episode
šļø Listen to the podcast above for more insights, real-life stories, and strategies to protect yourself from debt relief scams.
Remember: The best debt relief plan is the one tailored to your unique situation, not someone else’s sales quota.
