Starting on October 27, 2010, all debt relief companies must settle for reduce a customer?s credit card or other unsecured debt before they can legally collect a fee.
The debt relief provider or counselor can only collect payment is
? They successfully renegotiates, settles, reduces or changes the terms of the loan is some way for at least one of the consumer?s debts.
? A written settlement agreement, debt management plan or other agreement exists between the creditor and the consumer
? The consumer has made at least one payment back to the creditor as a result of the negotiated agreement from the debt relief provider.