Ask the Expert

IAPDA is a non-profit organization whose mission is to educate both the consumer and the debt settlement industry on their options for debt relief. Accreditation and certification ensure that consumers are speaking with educated and trained advisors. Consumers can search the IAPDA accredited service center for confirmation the debt relief company they are considering meets the industry minimum standards.

The definition of accreditation means official recognition, or something that meets official standards. IAPDA has accreditation authority by the states that require debt relief companies hold accreditation and certify their employees.

Iapda provides the following education and certification to all consumer facing employees”

• Enrollments
• Customer service
• Consumer facing negotiators
• Mangers
• Third party vendors

Training includes in-depth knowledge of the available options for debt relief, how debt relief affects a consumer’s credit, understanding creditor lawsuits, consumer laws, and how they apply to debt settlement, how creditor and collections works, moral and ethical topics, understanding and compassion for consumers, diversion, and inclusion and much more.

Absolutely! Click on the review tab at the top right-hand corner of the home page and reach out to us with your experience. Our conflict resolution department will reach out to your debt relief company on your behalf and try to resolve your concerns. You can also write a review about your experience to help others avoid the same problems.

Each situation is unique. Chapter 7 and 13 can help stop a foreclosure or repossession. Chapter 7 is a full liquidation of debt but hard to qualify for, each state has a set income cap that limits this ability. Debt settlement can be a better option than filing bankruptcy in certain situations. Debt settlement involves negotiating with creditors to reduce the amount of debt you owe. Debt settlement can help you avoid filing for bankruptcy and the long-term effects that accompany it. It can also help you avoid paying the full amount of debt that you owe. However, debt settlement does involve paying a settlement amount and can have a temporary negative impact on your credit score.

Your eligibility is based off information from. On these forms you’ll report your income, debts, and expenses in detail.

Use this link for Chapter 7 Bankruptcy https://www.uscourts.gov/sites/default/files/form_b_122a-2.pdf

Be careful trying to go it alone. A study of nearly 650,000 chapter 7 cases filed from 2007 to 2016 concluded that more people tried filing without an attorney (7% up to 11%), but the results weren’t pretty.

Debtors without a lawyer were “nearly 10 times as likely to have their cases dismissed or their discharges denied than debtors with attorneys,” concluded Ed Flynn, an editor at the American bankruptcy institute.

Defaulting on your debt is what puts you at risk for being sued, not being enrolled in a debt settlement program. A reputable debt relief company will help through either a legal insurance plan or a law firm. Stay away from companies who do not offer support in the event of a lawsuit.

Yes, but not because you are enrolled in a Debt Settlement Program. Your credit is affected regardless the moment you are late with payment and worsen once accounts are charged off and in collections. Once an account is settled and updated to your credit reports, your credit will begin to increase.

Consumers filing Chapter 7 Bankruptcy will begin receiving loan offers in the mail within the first few months. Consumers in a Debt Settlement Program will start to see an improvement in their credit worthiness after their accounts have been settled and their Credit Reports updated. For consumers filing Chapter 13 Bankruptcy it will take a few years to become credit worthy.

IAPDA believes that Validation is a necessary tool in the process of Debt Settlement but believes that Validation is not a one-size fits all method. Not every account will be invalidated, and Validation efforts are known to increase litigation brought on by the Creditor. The most important thing a consumer should be aware of are Validation companies who charge an advance fee. No compliant Debt Validation or Debt Settlement Company should ever collect any fees from a consumer until they have successfully performed the services they were hired to perform.