The savings rate increase is especially important – and satisfying
San Mateo, CA (Vocus) May 13, 2010
Freedom Debt Relief (FDR) settled more than $100 million in consumer debt during the first quarter of 2010, saving clients more than $60 million.
FDR achieved the savings – a 91 percent increase over the first quarter of 2009 – for clients on 18,000 individual creditor accounts. The average savings rate of 59.5 percent of settled debt (total client debt balances at the time of settlement, before program fees) – up from 57.5 in the first quarter of 2009 – meant that FDR clients paid an average of just 40.5 percent of the total debt amount they owed at the time of settlement.
For example, an individual with $10,000 of credit card or other unsecured (i.e., not mortgage or auto) debt paid, on average, just $4,050 of that debt, thanks to FDR professionals' ability to settle with the individual's creditors. In this manner, FDR acts as an independent consumer advocate on behalf of its clients to help them resolve serious debt burdens in a timely manner.
"The savings rate increase is especially important – and satisfying," says Andrew Housser, FDR's CEO. "While the increases in numbers of clients and creditor accounts handled are impressive, what is most important is how we are serving our clients. We continue to see that we are saving more money for each client who turns to us for debt relief help."
As a debt settlement firm, FDR negotiates directly with creditors on the consumer's behalf to resolve a consumer's debt balance. Offering an alternative to credit counseling, debt consolidation and bankruptcy, FDR's debt settlement programs help qualified clients fully resolve their debts, typically in two to four years. According to Housser, debt settlement is best suited for individuals who are carrying serious debt, who are struggling to make required minimum payments, and who would otherwise often be considering bankruptcy or credit counseling.
About Freedom Debt Relief (http://www.freedomdebtrelief.com)
Freedom Debt Relief provides consumer debt settlement services. Working for the consumer to negotiate with creditors and lower principal balances due, the company has served more than 80,000 clients since 2002. The company is a member of The Association of Settlement Companies, the International Association of Professional Debt Arbitrators and United States Organization for Bankruptcy Alternatives. FDR holds the Goldline Research Preferred Provider certification for excellence among debt settlement companies.
Freedom Debt Relief is a wholly owned subsidiary of Freedom Financial Network, LLC (FFN). Based in San Mateo, Calif., FFN also operates offices in Sacramento and Tempe, Ariz. The company, with more than 600 employees, was voted one of the best places to work in both the San Francisco Bay area and the Phoenix area in 2008 and 2009.