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Freedom Debt Relief Review June 2023

As the oldest & most established debt settlement provider, we consider Freedom Debt Relief the gold standard in debt settlement services.
Betsalel CohenJun 1, 2023
Editor’s Note
Advertising Disclosures

At, we strive to help you make financial decisions with confidence. While many of the products reviewed are from our Service Providers, including those with which we are affiliated and those that compensate us, our evaluations are never influenced by them.

Best for Overall debt reduction

Freedom Debt Relief Logo
Overall rating:
4.9 rating

As the oldest & most established debt settlement provider, we consider Freedom Debt Relief the gold standard in debt settlement services. The company is experienced in negotiating private debts like personal loans, medical debt, credit card debt, and certain student loans. The sheer depth of debt settlement experience and the wide variety of extra software and services set Freedom Debt Relief apart from the rest of the pack.

Type of Debt SettledCredit cards, medical bills, unsecured debt
Program LengthCustom to client. Typically 24-48 months
Customer Service HoursPhone support 7 days a week

Available in 41 states.

Not available in NJ, IA, MN, WI, ND, NJ, IA, MN & WI


American Fair Credit Council Accredited Member International Association of Professional Debt Arbitrators Platinum Member

key featuresKey features
  • Founded in 2002 - 21 years in business.
  • Has settled more debt than any other company.
  • It can help lower monthly payments and lower the total debt owed.
  • Willing to work with people who have been turned away or rejected by most other lenders or debt consolidation companies.
  • User dashboard provides consumers more transparency & control over their debt.
  • Online account info, videos, blog, FAQs, glossary, negotiation alerts, and more

What is Freedom Debt Relief?

Freedom Debt Relief is a leader in the debt settlement industry; they have settled over $15 Billion in debt for over 850,000 consumers. To accomplish this, they negotiate with creditors to resolve their clients’ debts for a discount. Clients regularly receive an added benefit of a monthly payment that is smaller than the monthly minimum amounts required by their creditors.

Freedom Debt Relief: Top Features

Freedom Debt Relief offers a debt settlement program to help consumers in financial hardship negotiate debts with their creditors.

Established company: Freedom Debt Relief was founded in 2002. They operate in 41 states and offer services through phone consultations.

Negotiate most unsecured debt: Freedom Debt Relief has a minimum enrollment of $7,500. They can help with credit cards, personal loans, store cards, and medical bills. Like other debt settlement companies, they do not handle secured debt, including mortgages and auto loans. Freedom Debt Relief also does some private student loans and business loans on a case-by-case basis.

Top accreditation: The industry group, The American Fair Credit Council (AFCC), accredits Freedom Debt Relief. They are also certified by the International Association of Professional Debt Arbitrators.

Free consultation: They offer a free debt consultation program to review your financial situation and see if you are a good match for their program.

No upfront fees: Like other reputable debt settlement companies, Freedom Debt Relief does not take any upfront fees.

Competitive fees and results: Freedom Debt Relief has competitive fees of about 15-25% of your enrolled debt, depending on your state of residence. Estimated savings vary, depending on the amount you owe, the speed at which you make your deposits, and your creditors. They evaluate that you will pay about 50% of your original debt and save about 25% of your original debt.

Important Considerations: While not unique to Freedom Debt Relief, these are essential things to keep in mind when looking for a debt settlement company. Here are some of the most frequently asked questions people ask Freedom Debt Relief:

Does the program lower my credit score?: The Freedom Debt Relief debt settlement program is not based on your credit score. However, since you stop making payments to your creditors, the program will negatively affect your credit score. They note that “If getting out of debt is more important to you than the likelihood that your score will be negatively impacted, our program could help you resolve your debt faster and for less—without declaring bankruptcy.”

Do I need to pay taxes on unforgiven debt?: You need to report any forgiven debt over $600. In the case of insolvency, the IRS has special rules that may exempt you from paying taxes. Always speak to a certified tax preparer or a CPA about taxes.

Will creditors harass me?: Freedom Debt Relief notes that most of their clients will experience collection calls. However, they provide tools and guidance to help you deal with collectors and avoid harassment. Freedom Debt Relief is not licensed to practice law; however, to help you in cases of lawsuits, they engaged a network of attorneys, the Legal Partner Network, that specializes in resolving debt litigation cases. Check with your debt consultant about this service for more information.

Can I keep my credit card?: Freedom Debt Relief, like other debt settlement companies, has trouble negotiate with creditors if you maintain some of your credit cards. They not that you might be able to hold on to a low balance card (less than $500 credit line) for emergencies. Speak to your debt consultant about keeping open at least one credit card for emergency use. 

Is Freedom Debt Relief Available in Your State?

Freedom Debt Relief is currently available to residents of Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Florida, Idaho, Indiana, Iowa, Kentucky, Louisiana, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nebraska, Nevada, New Mexico, New York, North Carolina, Oklahoma, Pennsylvania, South Dakota, Tennessee, Texas, Utah, Virginia, Washington DC, Wisconsin, Guam, Puerto Rico, and American Samoa.

Is Freedom Debt Relief legit?

Debt is a huge problem many Americans are struggling with; US consumers have over $1.4 trillion in outstanding debt as of 2020. There are many companies offering programs for getting out of debt, and some of them are scams.

The best way to avoid a scam is to be an educated consumer. Take the time to research your options before making a decision. Make sure to check out different strategies and programs before deciding which one is right for you and your situation. You can find what the FTC suggests about dealing with debt.

We feel confident recommending Freedom Debt Relief because of their track record of over 18 years helping consumers. We also value their accreditation, which includes helping found the American Fair Credit Council, an organization established in 2011 to set ethical standards for debt negotiation. They also worked with the FTC to establish rules that ban abusive debt settlement practices. Find out more about Freedom Debt Relief’s accreditation.

When researching debt relief companies, we always suggest looking at reputable, independent review sites that feature reviews from verified customers. You can find independent reviews at the Better Business Bureau and Trustpilot.

Freedom Debt Relief: Qualifying for a debt relief program

Freedom Debt Relief offers a debt settlement program to help consumers who are struggling with their bills. Similar to other debt relief companies, here are their major requirements:

Financial hardship: Debt settlement helps households who cannot make required minimum payments and are looking for an aggressive debt reduction program. If the creditor believes that you have the means to pay them back, they will have less incentive to negotiate a settlement. Freedom Debt Relief looks if you are going through an ongoing financial crisis. Some of the common reasons are a recent job loss or reduction in hours, medical bills, divorce, or death in the family.

Behind in payments: To qualify for a debt settlement program you need to be at least several months behind in your payments. 

Ability to make a monthly payment: You need to make a monthly payment to the program. In general, the monthly payment will be less than your current minimum payments. Freedom Debt Relief builds its program around a 24-48 month period. If, for example, you owe $10,000 in credit card debt, expect to pay about $156 per month for a four-year program versus minimum payments of about $250.

Sufficient debt to warrant the program: Due to large overhead expenses, Freedom Debt Relief requires you to enroll at least $7,500 in debt.

Freedom Debt Relief - Customer service and customer satisfaction

Freedom Debt Relief offers a free consultation via the phone. They also provide phone service to existing customers 7 days a week.

Freedom Debt Relief offers a robust dashboard and online portal. You can track your account and progress. They offer online account info, videos, blog, FAQs, glossaries, negotiation alerts, and more.

Freedom Debt Relief is BBB accredited with a B rating. They also have high ratings (4.6/5.0) with TrustPilot and (4.5/5.0) with Consumer Affairs, two popular review sites.

Compare to leading providers

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Half Star rating

Good for: Variety Of Unsecured Debt

Debt Settled
Unsecured debts including credit cards, retail cards, medical bills.
Program Length
24 - 48 months
Customer Support
Monday – Friday: 10:00am – 8:00pm EST
American Fair Credit Council Accredited Member International Association of Professional Debt Arbitrators Platinum Member
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Empty Star rating

Good for: Business Debt

Debt Settled
Unsecured debt including credit cards, medical/hospital bills, and business debt.
Program Length
24 - 36 months
Customer Support
Monday – Friday: 8:00am – 8:00pm Saturday: 9:30 AM - 3:00 PM
American Fair Credit Council Accredited Member