Debt Reduction

I was recently introduced to the program to reduce debt, which seems too good to be true. I need some advice.
This program is where I stop paying my bills to get the credit card companies to settle. In the meantime, I'm the money aside in an account known only to me. When enough money is set aside for debt reduction company will try to settle with my creditors.
Are there any legal implications, I should know?

This ruiin your credit. If you wait long before moving on the account, they can take legal action against you.

You are required to pay the credit card companies by the agreement that accompanies the map. The only time you have the right not to pay a credit card company is using a federal law anticipated "(Fair Credit Billing Act, 15 articles of the Code of the United States 1666 and 1666i, and Federal Reserve Regulation Z, 12 Code of Federal Regulations sections 226.12 (c) and 226.13), which means that you have purchased consumer products and service and he did not come as expected. You must first try to resolve the dispute directly with the seller, if you can not resolve it, then you must tell the credit card company in writing that you are the source of payment due to the problem.

The best way is to pay your credit card bills. If you own your own home, you may want to consider an equity loan to pay (I am sure that the loan is tax deductible up to $ 100K). If you do not they send them to a collection agency, your credit will be ruined, all in the hope that a program of debt reduction will be able to settle with the collection agency.

This seems very shady. It makes sense for me to have your accounts fall offenders and pay again.

Try this site, they have established for centers where you can talk to someone in person. They have one at my local YMCA and they seem very well informed.

http://www.debtadvice.org/takethefirstst ...

I'm afraid I do not have much experience with this, and when I tried googling a solution I went for a lot of advertising programs to eliminate debt. But I found this article (in the link below) and I hope it helps shed some light on your situation. Good luck to you.

This single line in your question gives you the answer already. ".... The company reduced debt will try to settle with my creditors ... "

You take one heck of a risk with this company. Try this .... see if they will sign a written guarantee that it will reduce your debt by a certain percent, and there will be no legal or adverse hits to your credit.

If they sign such an agreement when you're home free. Otherwise, run away!