For those who have determined that debt consolidation is necessary but the payments required for debt management are simply not possible, New Beginnings Debt Settlement offers a competitive debt settlement option with a well established firm.

Debt Settlement probably isn’t a good option for people who have taken on too much debt but are still current with their monthly payments and New Beginnings makes that clear. Debt settlement can be a viable alternative only for those who have seriously delinquent debts. Otherwise, serious damage would be done to the consumer’s credit rating. For those entering into New Beginnings’ debt settlement program, payments are not made to creditors. Rather, payment of an agreed upon amount is made to New Beginnings monthly until the fund accumulates enough money that they are in a position to start negotiating a settlement with creditors for an amount that is typically 50% or less of the actual debt. Once a creditor agrees to a settlement, it is paid off and the consumer’s credit report will reflect that the debt has been settled for an amount that is less than the total debt.

Clients of New Beginnings can view the progress of their debt settlement plan on the company’s secure web site. The company is a Better Business Bureau accredited business and has earned a grade of C+ from them. That’s actually rather impressive given that the BBB generally looks critically at the debt settlement industry in general.

Credit counseling information offered by New Beginnings is quite limited. While recognizing that their position regarding personal debt is to help solve problems once the situation has become extreme, it would be a plus if they made some additional effort to help clients prevent future problems once they emerge from the debt settlement process. There is some useful information regarding the calculation of credit scores and how credit card companies calculate interest as well as a credit dictionary. Their website also offers an FAQ section but even it is rather limited to questions specifically geared towards their program. Customer support is provided by both email and telephone.

To see how New Beginnings Debt Settlement compares to other top rated debt consolidation companies, please refer to our reviews of CareOne, DebtWave Credit Counseling and Coastal Credit Solutions.