Category: Debt Relief Basics

Debt resolution, also known as debt settlement or debt negotiation, is a debt relief strategy aimed at reducing the total amount of debt owed to creditors. In this process, a debtor or a debt settlement company negotiates with creditors to reach an agreement where the debtor pays a lump sum amount that is less than the total outstanding debt to settle the account. The difference between Debt Resolution and Debt Settlement is that often times once the debt has been negotiated down to the new terms the company can provide you with a loan to pay off the debt under the new terms which could help boost your credit back even faster provided you meet what their requirements are to do so.