Start with the debt.
Keep the differences in view.
A company may review a category without accepting every account. Read across for what to confirm and another route to explore.
Court papers need a timely response. A settlement conversation does not replace responding to a lawsuit. Read CFPB guidance.
Credit cards & retail cards
Unsecured card balances are a common category for consumer settlement programs. The creditor, account and program still need individual review.
Is this account unsecured? Does the company handle this creditor, and what happens if the creditor will not settle?
Sources: Freedom Debt ReliefCFPB
Ask your card issuer about hardship payments; compare nonprofit credit counseling.
Official guidanceUnsecured personal loans & lines of credit
Some personal loans and credit lines are unsecured. Others pledge a car, savings or another asset, which changes the route.
Is any collateral or co-borrower attached to the loan? Which specific accounts would the program accept?
Sources: Freedom Debt ReliefCFPB
Ask the lender about payment relief and compare counseling before committing.
Official guidanceMedical bills
Some programs consider medical debt. First check the bill, insurance handling and the provider’s financial-assistance policy.
Is this the corrected balance after insurance and assistance? Would the hospital offer a discount or affordable plan directly?
Sources: Freedom Debt ReliefCFPB
Ask the medical provider about billing corrections and financial assistance.
Official guidancePrivate student loans
Private education loans need separate review. A provider may consider some accounts; that does not mean the lender will negotiate.
Is the loan truly private? How would any agreement affect a co-signer, and does this company handle this lender?
Sources: Freedom Debt ReliefCFPB
Contact the private lender or servicer about its hardship and repayment options.
Official guidanceCollection accounts & charged-off balances
Collections describes an account’s status, not its original debt type. A charged-off account may still be owed. Verify the debt and current owner before discussing payment.
Who owns the debt, what was it for, and is the amount correct? Are any dispute or court deadlines running?
Review the collector’s validation information and your response options.
Official guidanceAuto loans, RV loans & other vehicle-secured debt
A loan secured by a vehicle follows a different path from unsecured consumer settlement. Missed payments can put the vehicle at risk.
Is the vehicle still collateral? A balance left after repossession is a different situation that needs document review.
Sources: CFPBFreedom Debt Relief
Mortgages, home-equity loans & HELOCs
Debt secured by your home needs mortgage-specific help. A consumer debt settlement conversation does not resolve foreclosure deadlines.
Which servicer handles the loan, and are any payment-assistance or foreclosure-response deadlines approaching?
Sources: CFPB
Federal student loans
Federal student loans have their own repayment and default-resolution systems. They are not the same category as private education loans.
Confirm the loan type and servicer through StudentAid.gov. Which current federal options apply to this loan?
Sources: Federal Student AidFederal Student AidFreedom Debt Relief
Federal & state tax debt
Tax debt follows the relevant tax agency’s procedures. An IRS offer in compromise has its own requirements; a consumer settlement minimum does not apply.
Which agency and tax periods are involved? What notices, filing requirements and response dates need attention?
Start with IRS payment options for federal debt, or the relevant state tax agency.
Official guidanceChild support, alimony & court fines
Support obligations and court penalties need their own legal or agency process. Do not treat them like ordinary unsecured bills.
Is this a support order, a fine, or a judgment on a consumer debt? Those are different obligations with different rules.
Sources: USAGovUnited States CourtsCFPB
For child support, contact the agency handling the order. For fines or court orders, seek court self-help or qualified legal advice.
Official guidance