Frequently Asked Questions*

1. Why should I use Halo Debt Solutions, Inc. (HDS) to settle my debts as opposed to handling it myself?
2. When will HDS begin to settle my debt?
3. What if my creditors won't settle?
4. Will I still receive harassing Creditor calls?
5. Do I keep paying my credit card bills?
6. How does this affect my Credit Report Score? OR Does this affect my credit?
7. Will I be dropped from your program if I miss a monthly payment to HDS?
8. Are your debt settlement services guaranteed?
9. Will your program stop legal action against me?
10. What if I’m sued and they get a judgment?
11. Who controls my personal savings used for settlement?

1. Why should I use Halo Debt Solutions, Inc. (HDS) to settle my debts as opposed to handling it myself?
Debt settlement can be a long, time consuming process for individuals not familiar with the industry. Our team has extensive experience in negotiating debt and working with creditors. We have an impeccable relationship with creditors and debt collectors, who can often be unwavering when negotiating with the consumer directly. Our team has extensive knowledge of your rights under the Fair Credit Reporting Act and the Fair Debt Collection Practices Act, as well as experience with consumer debt negotiation practices.
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2. When will HDS begin to settle my debt?
Once you have signed your enrollment package, your creditors will be notified and we will begin the settlement process. In most cases, we will immediately engage your creditors and begin negotiating settlement offers on your accounts. Due to our knowledge gained from past experiences, some creditors are more difficult to negotiate with and must be engaged with a different strategy. Regardless, the faster your savings accumulates, the faster you'll be able to accept and fulfill a settlement offer we obtain for you.
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3. What if my creditors won't settle?
There are very few circumstances where a creditor will refuse to settle. As with any negotiation, there are offers and counteroffers and when given the proper amount of time, a settlement is usually reached. Creditors realize that settlement may be in their best interest, because if a debtor files for bankruptcy, the creditor might be left with nothing.
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4. Will I still receive harassing Creditor calls?
Creditors have the right to attempt to collect on the debts owed to them. They are not allowed to harass or threaten you. We will engage your creditors and inform them that they should contact us with respect to settling your debt. One option you have is to send your creditors personalized Cease and Desist Letters requesting that the creditors communicate with you only in writing, with the calls coming to us. Our intent is to reduce the creditor phone calls within 30-60 days. If you continue to receive calls, please call our customer service department, who will again contact the creditor and attempt to obtain a resolution. In all cases, you should keep a log of all calls you get from creditors with respect to the debts you enroll into our program.
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5. Do I keep paying my credit card bills?
That has to be your decision. Either you can afford or you cannot afford to make these monthly credit card payments any more. When you evaluate all of your personal monthly income and expenses, are you at a point where you can no longer afford your monthly credit card payments?
IF YES: Then our program may be a good fit for you.
IF NO: Then our program may not be the best fit for you. This is a hardship program for people who are unable to continue making their current monthly credit card payments.
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6. How does this affect my Credit Report Score? OR Does this affect my credit?
Your credit is affected by many things including not being able to keep up with your minimum payments to your credit cards. This is true whether you are in the program or not. All debt relief programs will probably affect your credit rating. How much your credit is affected depends on your current credit score, as well as many other factors outside of this program. Unlike credit counseling or bankruptcy, entering our program is NOT listed specifically on your credit report.
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7. Will I be dropped from your program if I miss a monthly payment to HDS?
No. Simply contact your client services representative in anticipation of missing a payment and we will work with you and your situation. It is understandable that circumstances beyond your control may arise and we will help you get back on track with your payment schedule.
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8. Are your debt settlement services guaranteed?
Yes, if HDS is unable to present you with an offer of 60% or lower on a creditor account in non-legal status that is enrolled in the program during the program term agreed upon in your enrollment packet, the fee associated with that account would be eligible for a refund.
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9. Will your program stop legal action against me?
When you originally signed up for these credit cards you gave the creditor the right to pursue you for any unpaid balance. However, our goal is to obtain settlement offers before the creditors consider that option. It is a common tactic of third-party creditors or debt collectors to threaten you with a lawsuit. If a creditor does pursue legal action, the debt remains enrolled in our program and the potential for settlement still exists before, during, or after the suit. The threat of legal action can be intimidating, but IT CAN BE HANDLED. There are often several steps that typically precede a creditor resorting to this extreme. This is why it is critical that we maintain good communication with you and that you continue to send us all correspondence that you receive from your creditors so that we can track the progress of each account. Note: We do not provide you with legal advice. If a legal suit is filed against you, you may wish to contact an attorney for legal advice on how to respond to that suit. Or, you can represent yourself as many of our clients do. Even if legal suit is filed, we will continue working with your creditors to find a solution that will satisfy everyone and prevent legal action from moving forward if possible.
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10. What if I’m sued and they get a judgment?
If an account does go to judgment status, it is still part of the program and we will still continue to service that account for the agreed upon term of your enrollment. We will continue to try to negotiate a settlement offer with the attorneys who obtained the judgment in an effort to reach an acceptable settlement for all parties which would allow the judgment to be set aside because it was satisfied.
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11. Who controls my personal savings used for settlement?
Your personal savings account is a bank account that you control at the bank of your choosing. HDS will contact you monthly to try to ensure that you are depositing the minimum program savings amount as set out in your settlement program. The sooner you accumulate funds in your account, the sooner you’ll be able to accept the most favorable settlement offers.
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