Does Accredited Debt Relief work? January 2019 review | finder.com

Accredited Debt Relief review

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Get help with debt consolidation, settlement and more through this online matching service.

Suspect you might need debt relief but aren’t sure what kind is right for you? Accredited Debt Relief might be able to help. It works by matching clients to the best service with particular attention to how your credit score might be affected.

Accredited Debt relief details

  • Free consultation. Yes, either by filling out a form online or calling its toll-free number.
    Costs. Debt settlement fee of 18% to 25% of enrolled debt; debt management fee of $100 to $200.
  • Types of debt accepted. Secured, unsecured.
  • Services offered. Debt consolidation, debt management, debt settlement.
  • Minimum debt considered. Not listed on website.
  • Typical turnaround. 2 to 4 years.
  • Accreditation. BBB, AFCC.
  • Ratings. BBB: A+, Trustpilot: 9.4/10.
  • Direct or third-party negotiations. Third-party.
  • Service limitations. Not available in CO, CT, DE, GA, HI, IL, KS, ME, NH, ND, OR, RI, SC, VT, WA or WI.
  • Free resources or tools. None.
  • Customer service options. Phone, email.

How much does it cost?

Accredited debt relief costs vary depending on what type of service you’re looking for:

Debt settlement

Debt settlement fees typically range from 18% to 25% of the debt you enroll in the program at the time of settlement. Its debt settlement programs typically last between two and four years, although your first debt settlements typically begin six to nine months after starting the program.

  • For example, If you enroll $10,000 of credit card debt with an APR of 16% in a two-year program, you could expect to owe $13,742.19 if no settlements are made during the program. You might have to pay around $2,473 to $3,436.

Debt management

Debt management programs come with a monthly fee that typically ranges from $100 to $200, depending on how much debt you have. Debt management and debt settlement programs involve making monthly deposits into a trust account, part of which goes toward fees and the rest toward paying off or settling your debts.

  • For example, if you enroll $30,000 in a debt management program, you might have to make a monthly payment of $600 — $500 toward your debts, and $100 as a fee. This is a little high. Many nonprofit debt management programs charge a fee of around $25.

Debt consolidation

None of the lenders Accredited Debt Relief works with charge underwriting fees, so all it will cost you is interest. Typically, clients who are pointed toward debt consolidation can qualify for a loan with an APR of 5% to 7%.

How much could I save with Accredited Debt Relief?

Your savings also depend on what type of program you enroll in:

Debt settlement

Debt settlement savings generally range from 25% to 32% of your enrolled debt — before taxes. The IRS treats most settled debt like taxable income unless you’re financially insolvent at the time of settlement. If you aren’t exempt, you could end up saving almost nothing, depending on your tax bracket.

Debt management

How much you save with debt management depends on the interest rate you start off with. Some debt management companies are able to lower your interest rate by 6% to 9%.

Debt consolidation

Like with debt management, how much you save depends on the interest rates you started out with and your new loan’s interest rate.

Here’s an example of how much you might be able to save with a debt consolidation loan through Accredited Debt Relief:

Type of debt Balance Minimum monthly payment Interest rate
Credit Card $5,000 $130 17.99%
Credit Card $6,000 $160 19.99%
Personal loan $3,250 $90 18.99%

If you consolidate these using a loan of $15,000 with a 7% APR and a five-year term, you could lower your monthly payment by $83 — saving $4,772.30 on interest.

What are the benefits and drawbacks of Accredited Debt Relief?

Benefits

  • Lots of options. Accredited Debt Relief doesn’t pigeonhole you into one type of debt relief, which is ideal if you’re not sure what type of program you can benefit the most from.
  • Helpful staff. Clients frequently say that its customer service team does a great job simplifying an otherwise complicated and overwhelming process.
  • Good online reputation. Debt relief is a risky business, and it’s not guaranteed to work out as planned. For a company to have so many positive reviews is no mean feat.

Drawbacks

  • Fees vary between partners. It’s difficult to get an idea of how much debt relief will cost you unless you research each individual company Accredited Debt Relief works with — which can take some time.
  • Not all partners have great service. Since Accredited Debt Relief matches you with debt relief companies, you’re not guaranteed to get connected with a highly ranked service. It’s also not clear how much Accredited Debt relief vets its partners.
  • Lots of calls from partners. Like with any matching service, Accredited Debt Relief gives your information to its partner companies to contact you.

What is Accredited Debt Relief?

Accredited Debt Relief is a matching service that helps you find a debt relief program that best suits your personal financial situation. It can help you find a service that specializes in:

  • Debt settlement. A bankruptcy alternative in which a debt settlement company negotiates with your creditors to bring down the amount you owe in unsecured debt. Accredited Debt Relief is a direct enrollment center for Freedom Debt Relief.
  • Debt management. Lower your interest rates and monthly payments, plus get help dealing with collection agencies and creditor calls through a debt management program.
  • Debt consolidation. Combine all of your loans into one by taking out a term loan that you use to pay off your lenders, typically at a lower interest rate or more flexible loan term.

Accredited Debt Relief can also help you find a bankruptcy lawyer in your area if that’s your best option.

What does the Internet say about Accredited Debt Relief?

Mostly good things as of December 2018. Accredited Debt Relief earn an A+ rating from the Better Business Bureau (BBB) based on factors like transparency and time in business. It also scores an average 4.5 out of 5 stars based on over 80 customer reviews. Nearly 1,000 Trustpilot users have given the company a 9.4 out of 10, with 84% rating it “Excellent.” Only 1% of Trustpilot reviews were negative.

What did clients have to say? Most praised the company for its helpful, professional and knowledgable customer service team. The few bad reviews were mostly complaints about getting too many calls from Accredited Debt Relief’s partners — a common issue among matching services.

Is it safe to use Accredited Debt Relief?

In general, yes. It doesn’t go into much detail about its web security, although its site appears to use SSL encryption. Because Accredited Debt Relief is a matching service, you can expect your personal information to be shared with its third-party partners. Your details might also be shared with companies that aren’t directly involved in providing services, but you can opt out by either calling or emailing the customer service team. It limits access to sensitive information like your Social Security number, however.

It’s an accredited member of the American Fair Credit Council (AFCC), an industry organization that defines and enforces industry standards. It’s also been accredited with the BBB since 2014.

How do I sign up?

  1. Click Go to Site on this page and select the amount of debt you want to reduce.
    Accredited Debt Relief homepage screenshot with apply button

2. Enter your personal contact information and click Click Here to See If We Can Help.
Accredited Debt Relief application screenshot

An Accredited Debt Relief specialist will call you to get more information. At that time, they’ll do a soft credit pull and review your credit report to make sure nothing’s missing.

If it looks like Accredited Debt Relief can help you, it will call you again to discuss your options and match you with a program. A debt relief specialist will guide you through your specific enrollment process.

I’ve signed up. What happens next?

What happens next depends on what type of debt relief you enrolled in:

Debt settlement and debt management

Accredited Debt Relief assigns you an account manager, who will be your direct point of contact for the duration of the program. They’ll guide you through the process of making monthly payments into a non-interest trust account that they use to pay off your creditors and collect fees.

Debt consolidation

Debt consolidation loans are taken out through a partner lender — not Accredited Debt Relief — so how repayment works depends on who you’re borrowing from. Typically, debt consolidation lenders pay off your creditors for you so you don’t won’t have to worry about it.

Then, you’re just on the hook for monthly repayments to your new lender. If it’s an option, consider signing up for autopay — that way you won’t have to worry about making repayments each month.

Getting the most out of debt relief

Debt relief companies can only do so much for their clients — it’s up to you to make it a smart financial move. Here are some tips to keep in mind:

  • Don’t take on any more debts. This usually isn’t an option for debt settlement or management clients. But if you have a debt consolidation loan, it might be tempting to take on more debt once your credit cards are paid off. Try to resist the urge and instead focus on paying off your current debts first.
  • Watch your accounts and balances. It’s easy for things to go wrong with electronic or automated payments. Keep an eye on your accounts and reach out to your provider immediately if you notice anything amiss.
  • Don’t be afraid to ask questions. Call your Accredited Debt Relief account manager — you’ll get a direct number to reach them at — if you have any questions about the process or you’re worried about missing a payment.

Bottom line

Accredited Debt Relief can help you figure out what type of debt relief could work best for you without having to do much research beforehand. Its staff has a strong reputation, and more than one customer has said they felt better after using its services.

If you’re leaning toward debt settlement, read our review of Freedom Debt Relief first — it provides Accredited Debt Relief’s debt settlement services. Or to see how it stacks up to the competition and compare other providers, check out our guide to debt relief.

Frequently asked questions

Rhys Subitch

Rhys Subitch is a content creator and editor for finder.com. They specialize in updating information on various pages to keep everything accurate for the readers, and enjoy the time they get to spend researching various topics because of it. Rhys lives with their cat and partner in Seattle. When not working they enjoy working on sewing and other craft projects.

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2 Responses

  1. Default Gravatar
    WinnetJuly 4, 2017

    I earn $400 per month so how much can be deducted from my salary ,if I borrow a loan of $5000

    • finder Customer Care
      AnndyJuly 4, 2017Staff

      Hi Winnet,

      Thanks for your question.

      Your monthly repayment depends on the loan term. Fo example, using the loan calculator on the lender’s page, you will have an estimated monthly repayment of $59 if you get the maximum loan term of 4.5 years. But this is just an estimate and may also vary depending on your state.

      You may want to directly get in touch with Accredited Debt Relief to get a free quote.

      Cheers,
      Anndy

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