Meridian Debt Resolution · 1229 Colony Drive, New Bern, NC 28562 · contact@meridiandebtresolution.com
1. What our program is, and what it is not
Our program is a debt settlement service. We negotiate with your creditors to try to settle your enrolled unsecured debts for less than the full balance. Debt settlement is not a loan, it is not credit counseling, and it is not credit repair. We do not remove or correct information on your credit report.
2. No guaranteed results
We cannot guarantee that any creditor will agree to settle, that a creditor will accept a particular amount, or that a settlement will be reached within a certain period of time.
3. Who this program is for
Debt settlement is meant for people facing a financial hardship who cannot keep up with their minimum payments without serious difficulty. It is not right for everyone, and not every person who enrolls completes the program.
4. Past due accounts
Many creditors will only consider a settlement once an account is past due or has been charged off. While your accounts are enrolled, you should not make new charges, take cash advances, or draw on any enrolled account.
5. Effect on your credit
Your creditors will continue to report the status of your enrolled accounts to the credit bureaus. Enrolling in a debt settlement program will likely have a negative effect on your credit score and creditworthiness.
6. Collection activity and lawsuits
While you are in the program, your creditors and collection agencies may continue to try to collect, may add fees, penalties and interest, and may file a lawsuit against you. If you are sued, you should consider speaking with an attorney.
7. Your monthly deposits
The success of the program depends on you making regular deposits into a dedicated account at an FDIC insured bank, administered by an independent account administrator, [account administrator name]. If you are not able to make your deposits, you should consider other options, which may include talking with a bankruptcy attorney.
8. Your dedicated account
You own and control your dedicated account, and only you can authorize payments or withdrawals from it. The money in your account is used only for settlement payments to your creditors, the account administrator's fees, and fees Meridian has earned. It is not used to make minimum payments on your enrolled debts.
9. When we are paid
Meridian earns a fee for a debt only after we have reached a settlement agreement with that creditor, you have approved the settlement, and at least one payment has been made to the creditor under that agreement. Our fee is [XX]% of the debt you enroll, charged in proportion to each debt as it is settled.
10. Your right to cancel
You may leave the program at any time, for any reason, without a penalty. If you do, you are entitled to all money remaining in your dedicated account, minus any fees Meridian earned but has not yet been paid. If you leave, debts that have not been settled will remain unpaid and may be due in full with added interest and fees, and any settlement that is still being paid may be canceled if payments stop.
11. Taxes
If a creditor forgives $600 or more, it may report the forgiven amount to the IRS, and that amount may be treated as taxable income. Meridian does not provide tax advice. Please speak with a qualified tax professional about your situation.
12. Questions or complaints
If you have a question or concern, please email us at contact@meridiandebtresolution.com. If we are unable to resolve your concern to your satisfaction, you may file a complaint with the Association for Consumer Debt Relief through its Consumer Complaint Resolution Portal.