Here's How Debt Settlement Fee's Really Work

July 31, 2023

Here’s How GEM Debt Law’s Fees Really Work (Hint: You Save More Money) | GEM Debt Law

What Does This Cost?

To start, do NOT be afraid of GEM Debt Law’s fees for Debt Settlement Services. In this article, we will explain why a person in debt should be motivated to hire GEM Debt Law.

Our fees are structured in such a way that our clients save lots of money. In fact, our fee structure is designed to make it mathematically impossible to overpay. So, even after you pay all the Debt Settlements we negotiated on your behalf, as well as pay our invoice, you can still walk away having saved lots of money. Possibly, saving thousands of dollars. We prove this to be true, every day, at GEM Debt Law.

Remember, the goal of our Debt Settlement Program is to significantly reduce the amount of debt each client owes, and ultimately, save clients money. It makes no sense to charge our clients enormous fees, which does not allow for any savings in the end. Adding an exceptionally expensive lawyer bill, after we saved you from overpaying your creditors, makes no sense.

GEM Debt Law understands the reality our client’s face and aims to reduce the overwhelming expenses in their lives. We get what you are going through. We know how high-interest credit cards and loans can become unmanageable. And, it’s often unrealistic to fully pay the balances on these debts. In fact, you could be paying these debts forever, and never get ahead financially. So, GEM Debt Law is here to negotiate significant reductions in your debts. By getting your creditors to waive and forgive portions of your debt, forever. After charging for our services, you can walk away having saved thousands of dollars.

So How Does GEM Achieve Savings For Clients?

Before answering this question. It’s important to point out that GEM Debt Law is a business. Yes, we are a Law Firm by definition, but also a revenue-generating business too…and we are proud of that! We are therefore incentivized by earning money; HOWEVER, this should not deter you from choosing GEM Debt Law. Why? Because we make more money (wait for it) the more we save you from paying creditors.

We charge based on how much savings we negotiate on your debts. The formula for calculating our invoices focuses on how much we save you. The formula prevents us from overcharging fees, or charging you more than you would pay your creditors, had you tried to pay the full balance on your own. The goal for every client is to save them lots of money in the end. (I know that’s sounding repetitive.) We do not want clients to feel that they might as well have paid their high-interest debts in full (if that was actually possible).

Government programs, Licensed Insolvency Trustees, and Non-Profit Counsellors, by their very nature, may not be as incentivized to save you as much money. Licensed Insolvency Trustees actually make more money, the more you pay to your creditors. Yes, it’s true. Trustees make a percentage of how much you pay creditors. So, the more you pay, the more money the Trustee makes.

What Does GEM Debt Law Do?

GEM Debt Law offers the opposite approach. You save more, we make more, BUT…you pay much less than you would pay your creditors. Our system consistently works and we have a successful track record with hundreds of happy former clients across Canada.

Now as far as negotiating settlements goes, and saving you money, it depends on the creditors and a variety of factors. Typically, GEM Debt Law may be able to settle any debt, for 20% to 65% of the original amount owed. Often, creditors will waive interest accumulation first, and then, we negotiate a settlement for less than half the original amount of the debt.

FYI you may have seen ads that purport to reduce debt by 80% or more. Yes, it is possible to achieve this with Debt Settlement. Lately, we will admit, many of our settlements have been in the thirty percentile (30%+). But, many of these advertisements from competitors, for 80% savings or more, are often for Consumer Proposals or Bankruptcy. These insolvency proceedings come with lingering consequences that can have a very negative impact. They can prevent you from getting professional licences, losing your right to run a business, or losing possession of assets you own. GEM Debt Law’s Debt Settlement Program does not have those consequences.

Consult with one of GEM Debt Law’s representatives, before falling for the ultra-low savings. You may not qualify for 80% savings in Bankruptcy or Proposal either – it’s not possible for everyone. Don’t get stuck with Bankruptcy on your credit report for years, possible difficulties keeping possession of your assets, and difficulties getting a mortgage, credit, and loans.

The Bottom Line

In summary, we calculate our final invoice based on how much money we saved you from paying your creditors.

Disclaimer: Sometimes, there are additional legal fees and disbursements. However, make no mistake, GEM Debt Law is very mindful about NOT overcharging clients. Our goal is to keep the final bill at an amount that we deem reasonable in our professional experience, and what clients have been satisfied with in the past.

Yes, results may differ for each client, as every client’s situation is usually different. But, the very common outcome for our clients is that they save money. This is even after paying our invoice and all the Debt Settlements we negotiated on their behalf.

Just talk to a GEM Debt Law representative for more information. We are happy to explain the details of our fees over the phone and provide examples to help your understanding. The most successful clients in our Debt Settlement Program are those who inquire, ask questions and are patient with our representatives. Our representatives are always willing to take the time to listen and discuss and there are no pressure tactics. Do not hesitate to contact GEM Debt Law. We are here to help you save and get ahead financially.

If you’re struggling with debt, don’t risk your future. Contact GEM Debt Law today to speak with a representative and get the help you need to make the best decision for your situation.