Debt Settlement Company Rivals Credit Counseling Debt Consolidation with Superior Debt Relief Benefit to Help Unemployment Victims Avoid Bankruptcy and Foreclosure

Debt Free League aids victims of unemployment avoid double victimization by bankruptcy, foreclosure, and inefficient credit counseling. Unrivaled in the debt settlement industry, their new debt relief service, the National Debt Relief Stimulus Plan, embarks debtors on a successful journey to financial freedom.

(PRWEB) October 4, 2009 -- The U.S. recession has middle-class America under siege. Record unemployment and business failures leading to record home foreclosures, may push over 1.3 million people to file bankruptcy this year. The financial carnage is likely to increase as more people fall behind on payments to creditors. However, Debt Free League's new bankruptcy alternative is putting debtors on guard to overcome their debt woes.

According to the Administrative Office of the U.S. Courts, as of June 2009, bankruptcy cases increased 35% over 2008. Yet on the reverse, we've been able to help our clients, who were incapacitated by a financial hardship and were struggling to, or unable to pay their bills, to avoid bankruptcy

Credit card accounts are low priority debts that aren't secured against assets or a mortgage loan. Because of this, the reality is that despite their threats, credit card companies don't generally take negligent cardholders to court. Instead, they routinely charge off a delinquent credit card account.

We have many clients who have taken advantage of pre-charge off accounts by reaching debt settlements with creditors below fifty cents on the dollar! That's a far cry in savings than if you were to consolidate debt through credit counseling

If you owe $10,000 or more on unsecured accounts, have difficulties making the minimum payments, and are employed, or have a viable source of income, we are a powerful solution to help you combat the $2.3 trillion consumer debt epidemic and become debt-free

"According to the Administrative Office of the U.S. Courts, as of June 2009, bankruptcy cases increased 35% over 2008. Yet on the reverse, we've been able to help our clients, who were incapacitated by a financial hardship and were struggling to, or unable to pay their bills, to avoid bankruptcy" states Eric Santacruz, Debt Free League Vice President.

Every client of the National Debt Relief Stimulus Plan has suffered a tragic financial loss. Be it employment termination, a job layoff, or reduced work hours, their most common financial hardship is unemployment.

Before being a Debt Free League client, Shane was laid off from work after slipping a disc on his back. Eight months later, he landed a job as a records analyst at a pay of $10 an hour compared to his former $19.00 hourly rate as a warehouse worker.

Consequently, his gross monthly income fell from $3,040 a month to $1,600 a month.

His income loss forced him to charge food, gasoline, utility bills, and other living expenses to the tune of over $40,000 in credit card debt. He also fell behind on his fixed-rate mortgage. By consistently paying late, his $820 original mortgage payment gradually elevated to $1,130.

The late-night phone calls and debt collection letters to his house also increased. The onslaught of creditor harassment ranged from threats to garnish his wages, take his car, and foreclose on his home.

Overwhelmed, he turned to credit counseling. But after he missed a payment, he was kicked out of the debt management plan.

Although it would destroy his credit for ten years, he felt bankruptcy was his only way out. However, stringent filing requirements disqualified him to discharge most or all of his debt through Chapter 7 bankruptcy.

His only hope was filing for Chapter 13 bankruptcy.

Like a debt-consolidation loan, the five-year debt reorganization plan helped him reorganize a payoff of his $42,000 credit card debt. His bankruptcy also relieved his stress from debt collectors and protected his remaining assets.

Then, misfortune struck again…

After missing a court-ordered payment, his Chapter 13 case was dismissed by the bankruptcy court. He was once again defenseless against the merciless debt collectors.

Luckily, after joining the National Debt Relief Stimulus Plan, Shane's story had a happy ending. He managed to eliminate his debt.

According to financial industry author Victor N. Chevalier, a debtor can take a few easy steps to prevent foreclosure and avoid bankruptcy.

In his book, SETTLE Personal, Medical, and Business Debt for PENNIES on the Dollar, he recommends giving priority payment to a secured debt over an unsecured debt.

He adds, "Credit card accounts are low priority debts that aren't secured against assets or a mortgage loan. Because of this, the reality is that despite their threats, credit card companies don't generally take negligent cardholders to court. Instead, they routinely charge off a delinquent credit card account."

In 2008, record credit card delinquencies spiked the credit card charge-off rate 40% higher than the previous year. Incredibly, credit card charge-offs are estimated to hit $96 billion by the end of 2010.

"We have many clients who have taken advantage of pre-charge off accounts by reaching debt settlements with creditors below fifty cents on the dollar! That's a far cry in savings than if you were to consolidate debt through credit counseling," declares Mr. Santacruz.

Compared to credit counseling, his service negotiates a substantial reduction on the interest rate and principal balance of the consumer debt. It also generally provides the consumer a lower monthly payment.

As a protector of consumer rights, the service also helps shield its clients from nasty debt collectors.

If a client experiences creditor harassment, a cease and desist letter is prepared and issued to the third-party debt collector. Under the Fair Debt Collection Practices Act (FDCPA), the letter is designed to legally and immediately stop the unwanted collection calls.

People have also hailed the service as a godsend in terminating business debt and medical debt.

Small business clients have been able to resolve cash flow problems, creditor lawsuits, creditor judgments, liens, and the seizure of business assets.

A partial list of acceptable business accounts includes, past-due business accounts, vendor disputes, business judgments, breaches of contract, and lease disputes.

For people with medical debt, which causes almost half of all yearly personal bankruptcy filings, the service has been an avid crusader. Clients have effectively liquidated hospital bills, doctor bills, dental bills, medical collection accounts, and other types of medical debt.

"If you owe $10,000 or more on unsecured accounts, have difficulties making the minimum payments, and are employed, or have a viable source of income, we are a powerful solution to help you combat the $2.3 trillion consumer debt epidemic and become debt-free," proudly states Mr. Santacruz.

The National Debt Relief Stimulus Plan is available in most 50 states. Its financial advisors provide a free, no-obligation phone consultation.

Contact:
Media Relations
800-213-9968                                                    

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www.sealibrededeudas.com

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