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While debt settlement can be one of the more lucrative routes to take when looking to get out of debt, just like any other credit card debt relief process there are a small number of of unattractive aspects to it which someone needs to comprehend before going through the debt settlement process. However just as with anything else there are pros and cons when regarding settling your debts.

First we will begin with the negative aspects.

1. In most cases your FICO credit rating will decline. No credit card company will be willing to make a settlement until you have fallen at least 2 to 3 months behind. So when you are falling behind your credit report will take a negative decline. However the derogatory strikes from credit card debt settlement are able to be fixed, a decent credit repair agency can get those negatives removed.

2. The harassment you will receive when falling past due on your debts. As you can envision you will get phone calls in an attempt to collect the money they feel they are owed. Depending on what organization you use for credit card debt settlement, collection calls can be significantly reduced if not stopped. But you will receive collections calls to some degree.

3. Potential of being sued. This is always a possibility, while it does not occur anywhere near as much as one might think it does happen. Again with a decent organization this process can be deferred so a deal outside of court can be reached. When you are being sued the company suing often knows that they will not collect the entire amount and the creditor is usually very willing to make a settlement.

Now for the positives of debt settlement.

1. The enormous savings! You can honestly look to save between 40-50% of the amount of debt you owe. Not only will you save money off of your current balance, but you must take into consideration the amount of cash you would be losing through minimum payments and high interest.

2. Get out of debt much faster than otherwise possible. Of all the credit card debt relief systems, settlement will put you on the fasted route to becoming debt free. You can be looking to get out of debt within 3 years or less. This is a far cry away from how utterly long it would take to be out of debt through minimum payments.

I personally think the pros do considerably outweigh the con's. Nothing is worse than forfeiting hundreds if not thousands of dollars every month for what can be decades through minimum payments and high interest. Debt with credit cards is detrimental to your finances. How in the world can you save or invest for the future when you are just trying to get by each month to stay current with your credit card.