Why the BBB Rates Freedom Debt Relief a C+

As of this writing in early 2011, Freedom Debt Relief has ‘C+” which may sound like a modest rating, but it is actually the highest ranking the BBB will afford to any debt settlement company. Why? It is simply because the BBB has taken a skeptical eye to the industry of a whole. In fact, FDR is one of only a handful of debt settlement companies to receive the C+ rating — the majority received F-ratings.

The Better Business Bureau (BBB) and debt settlement companies companies have not always seen eye-to-eye since debt settlement became available to consumers in the early 2000s.

Before 2007, the BBB rated Freedom Debt Relief and all debt settlement companies the same way it rated other industries. But in 2007 the BBB adopted a policy that it would not give debt settlement companies a favorable rating.

This was due, BBB officials stated, because the debt settlement industry lacked uniform regulation, and therefore the BBB found it difficult to assess debt settlement firms according to objective standards. The other issue cited by the BBB for debt settlement / resolution to work is that a consumer must be in a default status with creditors. In default, creditors are encouraged to negotiate an account. A consumer in default means the consumer is in breach of contract with their creditor. The BBB looked disfavorably at this aspect of debt settlement / resolution programs.

In August 2010, the Federal Trade Commission (FTC) adopted rules that debt settlement companies must abide. Freedom Debt Relief stated publicly it would embrace these new rules, which may have been a factor in the BBB moving Freedom Debt Relief from F to C+.

See the Bills.com resource Reputable Debt Settlement to learn more about what to look for in a debt settlement company. And you can read Freedom Debt Relief customer reviews.

I hope this information helps you Find. Learn & Save.

Best,

Bill

Bills.com