Freedom Debt Relief Review 2023| US News


Freedom Debt Relief assists clients with settling unsecured debts, including:

  • Credit card debt
  • Medical bills
  • Department store card debt
  • Unsecured personal loan debt

The company may offer debt settlement relief for private student loans and some business debts. It does not assist with secured debts, such as auto loans or mortgages, or federal student loans.

You can call a Freedom Debt Relief debt consultant to ask about the program or fill out an online form to see if you are eligible for debt settlement with the company. Once you start working with Freedom Debt Relief, you will make monthly deposits into a dedicated account, with those savings earmarked for paying settlements. Freedom Debt Relief will negotiate with creditors, and you will need to approve any agreement.

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Freedom Debt Relief charges a fee typically ranging from 18.25% to 25% of the total debt in the program, with an average fee of 21.5%. Your fee depends on the amount of debt and your state of residence, and you will only pay the fee after you authorize the settlement and the first payment has been made. Some customers will be able to settle their debts within two to four years.

You may be eligible for debt settlement with Freedom Debt Relief if you have at least $7,500 in unsecured debt, though the company notes that customers typically have at least $10,000 in unsecured debt. Consumers also must usually be behind on their payments to settle with a creditor. Freedom Debt Relief works with people who face financial hardship that prevents them from making minimum monthly payments on their debts.

Customers with subpar credit can work with Freedom Debt Relief. Debt settlement programs can have a negative impact on your credit, and settled accounts can stay on your credit report for up to seven years.

Freedom Debt Relief has licenses in 32 states.

Freedom Debt Relief has an A- rating with the Better Business Bureau. Freedom Debt Relief is accredited by the American Fair Credit Council and the International Association of Professional Debt Arbitrators.

The Consumer Financial Protection Bureau received 81 complaints in 2021 about Freedom Debt Relief. The main complaints were concerning debt collection and its credit repair services. The company gave a timely response to all but one complaint; 75 were closed with a response, three were closed with monetary relief and three were closed with nonmonetary relief.

In July 2019, Freedom Debt Relief settled with the CFPB and paid $20 million in restitution plus a $5 million fine in a lawsuit alleging it broke several government rules, including by inappropriately charging fees and misinforming customers.

Current customers can contact Freedom Debt Relief at 800-655-6303, while noncustomers can call 800-230-1553. You can reach a certified debt consultant Monday through Friday from 8 a.m. to 11 p.m. Eastern Time, and Saturday and Sunday from 9 a.m. to 9 p.m. ET. Customer service representatives are available Monday through Thursday from 8 a.m. to 9 p.m., Friday from 8 a.m. to 8 p.m. and Saturday and Sunday from 10 a.m. to 8 p.m. You can also email for a debt consultation and if you are a current customer.

Potential clients can complete an online questionnaire to see whether they qualify for debt settlement with Freedom Debt Relief. Also, clients can view progress and payments on an online portal.


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