Debt Relief FAQs

I Have Questions …

About Debt Relief

What is debt relief?

Debt relief is when you or someone acting on your behalf negotiates with your creditors to try and reduce the total amount that you owe on unsecured debts. When you work with a company to do this, you will deposit funds into a dedicated program savings account each month, and as the account grows, you will use that to pay the negotiated settlement of your debts.*

How long will it take me to be debt free?

Based on the amount of debt and the individual affordability of the payments, it may take anywhere from 24-60 months to resolve debts that are in the program.**

How much money can I save in the program?

Typically, customers who complete our program save around 25-30% of their total debt and that includes our program fees.***

What if I want to get started now?

Debt relief is when you or someone acting on your behalf negotiates with your creditors to try and reduce the total amount that you owe on unsecured debts. When you work with a company to do this, you will deposit funds into a dedicated program savings account each month, and as the account grows, you will use that to pay the negotiated settlement of your debts.*

Which states are you able to work in?

We are able to provide debt settlement services in Alabama, Alaska, Arizona, Arkansas, California, Florida, Idaho, Indiana, Iowa, Kentucky, Louisiana, Maryland, Massachusetts, Michigan, Mississippi, Missouri, Montana, Nebraska, New Mexico, New York, North Carolina, Oklahoma, Pennsylvania, South Dakota, Texas, Virginia, Washington DC, and Wisconsin.

About My Debt

What types of debts do you work with?

Debt relief is when you or someone acting on your behalf negotiates with your creditors to try and reduce the total amount that you owe on unsecured debts. When you work with a company to do this, you will deposit funds into a dedicated program savings account each month, and as the account grows, you will use that to pay the negotiated settlement of your debts.*

Is there a circumstance that an unsecured debt may not qualify for relief?ll it take me to be debt free?

Yes.  Some unsecured debt may not qualify for our debt relief program based on the creditor, current balance, litigation that has been initiated, or your state of residence.  Our staff of certified debt specialists will review your creditors to see exactly what we can assist with at no obligation.

How much debt do I need to have to qualify?

The minimum amount of total debt we work with is $10,000.

How does this work?

Do I pay you directly to pay off my debts? How does this work?

No.  While we do earn a fee for our services (but only after a debt has been settled). You do not pay us directly.  An FDIC insured savings account will be set up that you own and control. This is where you will make monthly deposits into the program.  Once enough funds are accumulated and we have settled each enrolled debt, you will use this money to pay settlements with your enrolled creditors. With your authorization, the money to settle each enrolled debt is transferred directly from your FDIC-insured account to the creditor.

Can’t I just negotiate with my creditors on my own?

Sure, you can, but we have strong existing relationships and have experience negotiating with these creditors. We work closely with them to get your payments down to a reasonable amount.

What happens after you have reached an agreement with my creditors?

Once we have reached an agreement with your creditors, we will contact you to get your approval and only settle a debt if you agree to what was negotiated. We will repeat this process with every debt account in the program until they are all paid off.

What if the program doesn’t work for me and I want to cancel?

While we hope you stay in the program, if you realize it doesn’t work for you once you start, you can cancel at any time without any penalty or obligation, get back the money that is in your FDIC-insured account, and we will only receive our fees on debts that were settled prior to cancellation.

How does JG Wentworth get paid in the process?

We don’t charge any fees upfront and there is no cost to get started. All fees are laid out in your Enrollment Agreement and accounted for in your monthly payment, but we get paid a specific fee on each debt that is settled.

Common Concerns

How does debt relief differ from debt consolidation?

Debt consolidation offers the ability to receive a loan to consolidate your debt. If you do not qualify for a debt consolidation loan, you may be offered our debt relief program instead of a debt consolidation loan.

Will I have to stop paying creditors in the process?

Yes, you will need to make the personal decision to stop paying your creditors in the beginning of the process, but during that time, we are closely working with them to negotiate down your debts to save you both time and money.

How does JG Wentworth get paid in the process?

Yes, you will need to make the personal decision to stop paying your creditors in the beginning of the process, but during that time, we are closely working with them to negotiate down your debts to save you both time and money.

Will my credit score be impacted?

The honest answer is yes, but on the road to financial flexibility, it is normal to see your score go up and down. As you stop paying your creditors, it will likely have a negative impact on your credit score, but as each debt is settled, the creditor will report the settled debt to the credit bureaus accordingly. This is just a temporary hurdle to achieve your larger goal of being debt free!

Can my spouse and I combine our debt and go through the program together?

Yes. Co-applicants are recommended with our program.  A co-applicant could be a spouse/partner, significant other or family member.

Can I be sued by creditors?

Yes, that is always possible whether you enroll in a debt relief program or not. In a debt relief program, you voluntarily choose to stop making payments to your creditors, so your accounts go past due.  As a result, there’s a chance they may choose to use a law firm to collect on the debt. We have experience with these types of collection strategies if they occur.****

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Debt Relief Resources

* Debt relief services are provided by JGW Debt Settlement, LLC d/b/a J.G. Wentworth. Program results will vary by individual situation. As such, it may not be suitable for all persons. J.G. Wentworth does not offer debt relief services in all states and fees may vary from state to state. Not all debts are eligible for enrollment. Not all individuals who enroll complete our program for various reasons, including their ability to save sufficient funds. Savings resulting from successful negotiations may result in tax consequences. J.G. Wentworth does not provide tax, legal, or accounting advice. Please consult with a tax professional regarding these consequences. The use of debt relief services can potentially have an adverse impact on your credit rating, may result in you being subject to collections, and may result in other adverse action by creditors or collection agencies. Read and understand the program contract prior to enrollment.

** The average program length for clients enrolled in the JGW Debt Settlement, LLC debt settlement program is 35.3 months as of April 20, 2021. Individual program lengths vary by individual situation and range from 24 and 60 months.

***These amounts are estimates based on historical overall savings amounts of individuals enrolled in JG Wentworth’s debt settlement program. Because results are based on each individual’s specific circumstances, JG Wentworth cannot guarantee you will see the same results. ****J.G. Wentworth is not a law firm and cannot provide legal advice. If you are sued, it is important that you consider consulting with an attorney to advise you of your rights. When permissible, J.G. Wentworth will continue trying to negotiate the debt; however, J.G. Wentworth cannot force a creditor to negotiate or accept a settlement. J.G. Wentworth cannot advise you of your legal rights or what to do if you are sued by one of your creditors. Only an attorney can do that. You are free to remove such debts from J.G. Wentworth’s program at any time without any penalty.

****J.G. Wentworth is not a law firm and cannot provide legal advice. If you are sued, it is important that you consider consulting with an attorney to advise you of your rights. When permissible, J.G. Wentworth will continue trying to negotiate the debt; however, J.G. Wentworth cannot force a creditor to negotiate or accept a settlement. J.G. Wentworth cannot advise you of your legal rights or what to do if you are sued by one of your creditors. Only an attorney can do that. You are free to remove such debts from J.G. Wentworth’s program at any time without any penalty.

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