About Freedom Debt Relief
Freedom Debt Relief is a nationwide debt relief company that provides debt settlement services and education. The company requires applicants to have at least $15,000 of unsecured debt. Its fees vary by location and range from 15% to 25%. Though user credit suffers in the short term, Freedom Debt Relief’s 2020 study found that most customers saw credit score recovery in 24 to 45 months.
Overall Satisfaction Rating
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Pros
- No fees until settlement is reached
- Successful track record
- Works with high debt amounts
- Long-term credit recovery
Cons
- Fees up to 25% of settlement amount
- Short-term impact on credit
Bottom Line
Freedom Debt Relief is a good match for those with $15,000 or more in debt. Although its fees can range up to 25% of the settlement amount, it won’t charge these fees until some of your debt is settled.
Top Freedom Debt Relief Reviews
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I’m so grateful to the staff of Freedom Debt Relief. It’s been a struggle at times, but it also has been a positive crossroad ... This is the best decision I have ever made for my...
Read full reviewI have had an excellent experience with FDR. They listened, got me where I needed to be, and stuck with me the entire time. It has been a journey worth taking. They are faster tha...
Read full reviewWhat is Freedom Debt Relief?
Freedom Debt Relief (FDR) specializes in debt resolution, negotiation and settlement services for those grappling with overwhelming debt. In business since 2002, FDR touts a record of saving its customers a combined $10 billion through debt settlements. It’s a Platinum member of the International Association of Professional Debt Arbitrators and part of the American Fair Credit Council.
If you have $15,000 or more in unsecured debt, an unsecured personal loan or outstanding medical bills, FDR will work to help you negotiate a settlement with your creditors for as low as 50 percent of what you owe.
How does Freedom Debt Relief work?
To get started with Freedom Debt Relief, you must have at least $15,000 in unsecured debt unattached to collateral, such as a house or car. If you qualify, you’ll talk with one of FDR’s consultants to find a plan that works for you.
FDR’s program length typically ranges from 24 to 48 months, and you can track your progress through the online dashboard 24/7. The company also offers an online evaluation tool to help you see if you qualify.
FDR will then help you set up a savings account — these are secured by the FDIC, allow you to deposit cash and help with your debt settlement. Your certified debt consultant will then determine when the best time is to attempt to negotiate with your creditors.
If you reach a solution, FDR will ask you to authorize the agreement then charge a fee based on the settlement. It won’t charge until a settlement is reached; however, not all creditors will let you settle.
How much does Freedom Debt Relief cost?
Freedom Debt Relief’s fees typically range from 15% to 25% of the settled debt. When you apply, a certified debt consultant will receive your case and you’ll get an exact percentage and a monthly cost. Fees vary depending on the state you live in.
Legally, FDR can’t charge any upfront fees, so each charge is initiated after the company settles part of your debt. Users need to authorize a settlement before the company initiates any charges, so this fee should never be a surprise.
Freedom Debt Relief FAQ
How does Freedom Debt Relief affect your credit?
As with all debt relief and settlement programs, working with Freedom Debt Relief will likely negatively affect your credit in the short term. However, a Freedom Debt Relief program can help encourage positive credit habits, which over time could help improve your credit. The company conducted a study and reported that its customers’ credit improved significantly over 24 to 45 months.
Where is Freedom Debt Relief located?
Freedom Debt Relief has offices in Phoenix, Arizona, and San Mateo, California, but it serves customers across the country.
Is Freedom Debt Relief a debt settlement company?
Yes, Freedom Debt Relief’s program involves negotiating settlements with your creditors.
How long does Freedom Debt Relief affect your credit?
According to a study conducted by the company, customers of Freedom Debt Relief saw a significant dip in credit score in the beginning, with median scores of 497 at six months after enrollment, then saw a steady increase, with median scores reaching 604 at 24 months and 648 at 45 months. This study tracked the scores of customers between 2014 and 2018 with a median starting credit score of 650.
Does Freedom Debt Relief offer loans?
Freedom Debt Relief does offer debt consolidation loans; however, since debt settlement is its specialty, its certified debt consultants prefer to try debt settlement first.
Is Freedom Debt Relief legit?
Freedom Debt Relief is a reputable company with a proven track record. The company is a member of the American Fair Credit Council and a Platinum member of the International Association of Professional Debt Arbitrators. If you have $15,000 or more in unsecured debt, Freedom Debt Relief may be able to help you.
While all debt relief services will likely cause a negative mark on your credit report, Freedom Debt Relief professionals can assist you in negotiating with creditors in a way you may not be able to do yourself. Although its fees may be high — as much as 25% of what you save on your debt — it still may cost you less than paying the debt in full.
Freedom Debt Relief Reviews
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FDR was a lifesaver for me. I was $16,000.00 in debt and engaged to get married. I didn’t want my future husband to have to worry about my debts. That was my responsibility. I had a good job but I had a lot of medical issues which involved deductible. Even though I was paying my credit cards I wasn’t getting anywhere because of the high interest I was paying. So I called FDR to see what they were about. They were so nice and understanding. They walked me through the process and I decided to let them help me. The biggest issue I had was that none of my accounts were behind but I would pay say $300.00 on a card and only a $100.00 went toward knocking my bill down. I was barely making it and not getting anywhere. So I agree to commit to a 4 year plan.
My accounts had to go to past due status and I started to get those calls which I hated. I am not a bad person so I wrote a letter to each of my creditors and gave them FDR information and it stopped. I paid my payment faithfully for 4 years. They handled everything else. They will work with you if you have an issue and they support you and show you where you're at each month. I would highly recommend them if you're over your head and struggling. Pick up the phone and start your new life. I have learned how to manage the cards I have. I don’t spend more than I can afford when I wanted new furniture or lawnmower. I only buy something if it was interest free for 48, 24, 18 months and I always pay over the amount due as it helps knock the bill down faster.
Word of advice. Paying the minimum is what will get you in trouble again. For example I bought a new washer & dryer on a holiday weekend. It was $2000. Minimum payment $39.00. Interest free 18 months. I pay $200 and it will be paid off in 10 months. None of those extra interest charges and always pay early. Never late. You can have a credit card but be responsible. I always ask myself, "Do I need it or do I want it." I can’t thank the FDR family enough for all their help and support. Because I had no one I could borrow money from. I don’t come from a rich family just ordinary people and I didn’t want them knowing I got myself in a pickle. So if you're that person who is overwhelmed and the burden is getting too heavy to carry alone call FDR. Your shoulders will feel lighter.
Hi Mary Kay,
First of all, WOW!! Your response is amazing and so powerful, congratulations on your fresh start. Thank you for choosing Freedom Debt Relief and congratulations again, on your success!
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I say that because I wasn't completely prepared for what was about to happen to my already shaky credit score. I was making minimum payments, not even making a dent in any of my credit cards, kept going downhill from there. Getting loans to cover "a couple of cards" only to get behind on other ones. Got to the point of living paycheck to paycheck with no relief in sight. Finally, after not being able to get another loan, looked at Freedom Debt. They will go through all your accounts, add up all the debt that you have and give you a dollar amount that you will need to pay per month. You will stop paying all debt that you added to this program and wait for the fun part. Now you start getting all the missed payment notices, then come the annoying phones calls from creditors.
You start seeing your credit score tanking and now you're really screwed (at least for a few years) cause no one is gonna give you any kind of credit. Stick it through, don't be dumb and get into any more debt, and in a few years you start seeing some improvement. But wait, there's more!! Now you start paying off a few here and there, then come the tax papers from said creditors. It's funny cause no one really tells you about this part. They send you a few emails where you can click on different stories, one of them being these forms (1099 I believe) they don't really make a big deal of them. But they are!
They count as extra income so they need to be added to your taxes. For some not a big deal, for me, it sucked. It was the difference in paying or getting a refund. So another thing to be careful of. They say that it's rare, but for me, every creditor sent me one. At the end of everything, though, I stuck it through and it's in the rearview mirror. Not living paycheck to paycheck anymore and definitely hoping to never do this again!! Hahaha! TLDR: stick it through till the end, don't get any new debt. Plan will work. Don't stick it through, keep getting more credit cards. Don't even bother doing this.
Hello Antonio, thank you for your feedback. We understand that there are negative impact that come from our program such as the possibility of receiving 1099-c forms, which are sent out by your creditors. As well as the negative impact to your credit, you should see your credit improve as your accounts are resolved. If you compare our fees to the overall savings of your program, our clients still have obtain significant savings. We encourage you to contact customer services to address any questions you may have about your program.
It is a hard pill to swallow when you realize you are in debt and see no end at the tunnel. My husband and I lost both of what we thought would be life long careers in 2019. Shortly thereafter Covid Pandemic hit. And here we were. Stuck, only way to live was by using what credit we had. Praying that things would change, and we would find work. But then schools shut down, I became mom, school, teacher and trying to work from home. My husband was working a dead-end job. With no hope in sight. Almost three years later, boom swimming in debt. We are not bad people. We did what we had to do to keep our family above water. So, after some life changes and getting back on our feet. I reached out to the first debt consolidation firm. To which I will not name. BUT absolutely the worst experience ever. They not only made me feel ashamed, but they basically treated me like a very low-class citizen.
I did some searching and happened to catch the commercial on TV about Freedom Debt. I was given the opportunity to speak with a man named Cory **. Not only was he nice. But so very helpful. Personable, positive. He didn't treat me like a 3rd class citizen. He completely understood our position. And He literally made it his goal to help us. This problem we are in didn't happen overnight. But It is a problem we can solve. But, without Cory, this wouldn't be happening. Since speaking with him, we have things happening that will definitely secure our future. My husband got a phone call about a new contract. And I found a job that doesn't discriminate against my medical choice to not be vaccinated. So, I am finally going back to work. So, things are looking up.
Cory was able to help us get set up on a plan. To which, It won't takes us the time allotted to complete. Simply because, it seems that the good lord is looking out for us OR CORY is our good luck charm. Either way, I am embracing the new beginnings. Cory was so helpful, full of knowledge, And positive. And made signing up for this program very easy. I cannot thank Cory enough for what he has done and is doing for my family. I can finally breath and sleep at night knowing that we have a light at the end of the tunnel. I give Cory 10 stars. And look forward to clearing my debt and getting back on track for our future endeavors. Thank you Cory and Thank you Freedom Debt Relief. My family and I appreciate all you have done thus far, and what you will be doing.
Thank you for sharing your experience with us, Kimberly. It is great to hear that you are happy with your choice of partnering with us to achieve a brighter financial future. We are excited to work with you towards your brighter financial future! Please reach out to customer service at (800) 655-6303 or support@freedomdebtrelief.com for any additional help you may need.
When I started FDR I had been paying the minimums on my credit cards for years - never seeing any drop in the principal total and being punished with fines if I was ever a minute late. My mailbox and voicemail was constantly pinging with reminders and harassments to pay this or that on time OR ELSE. If you're lucky, you'll start to realize that your desire to have things you can't readily afford has set you up to be taken advantage of by lenders and institutions lined up to give you the rope you need to hang yourself from their gallows. I have been very lucky that the one person I know of who had gone through FDR casually mentioned that I should do it. Not enough people know about FDR, apparently. In short - FDR saved me stress, grief, humiliation, harassment, and thousands of dollars over the five years it took me to go through the program.
During Covid I was often getting by on dollars. Paying to FDR was difficult at times, but I stayed with it, knowing that the alternative to seeing my debt going down, was to see it go up, and to be harassed and fined and threatened. I am graduating from FDR in 2 days. I couldn't be more grateful. I will never use credit again.
Sometimes when we want something we can't have, it's because we shouldn't have it. Changing my mind and my lifestyle has made me a different person - one more stable, more satisfied, and one less susceptible to falling victim to other people's schemes designed to take advantage of another person's unhappiness and dissatisfaction. That's for other people – not for me. Thank you Freedom Debt Relief, and all the people who make up your institution. You've changed my life and I couldn't be more grateful. Beyond financial help, the emotional uplift of your kindness and the hope of being debt free that you give to your clients is nothing shy of immeasurable.
If you are considering FDR, consider how much it will impact your whole life and the life of those you love when you trade desperation, harassment, and grief of credit for the kindness, help, and hope of credit resolution. FDR are saints! I recommend FDR, downsizing, and giving up credit forever to anyone who will listen. I hope you give it some thought and ultimately use FDR. You won't be sorry!
Donovan, we appreciate your kind words and trust in our company. Congratulations on your hard work, your progress, and the completion of your program. Your hard work and dedication has paid off significantly, it has been an honor to partner with you on your journey to financial freedom. Thank you for choosing Freedom Debt Relief.
I’m nearing the end of my time with Freedom Debt Relief and it has changed the way I look at buying and spending. I used to put purchases on a card to get the points or the miles, thinking about all the bonuses I’d be getting, but not thinking about the accumulated interest I’d accrue on the balances. It got to be out of hand especially after my divorce and getting laid off. So I looked for a way out without declaring bankruptcy or asking for loans from relatives. I found Freedom Debt Relief after reading about ways to pay down debt and doing an online search. After I spoke with a counselor about my debt and how Freedom worked.
It would require trusting their negotiations and letting my credit cards go unpaid until a resolution was made. That was scary at first since I never had missed any payments and had excellent credit. It was rough gong for the first 3 or 4 months but soon I had my first settlement. I was notified by text and email and was able to accept it right from my phone. Whew. One down, four to go. I would get a settlement offer every 4-9 months so I knew they were working on negotiating with my creditors. I kept my part of the deal by making payments to my dedicated account (which were much less than what I’d have to pay all of my credit cards each month) and not paying anything towards those cards.
All through the process I was kept informed about what to expect and encouraged to stick with the program and not worry about my credit score since I knew I was responsible for the decline and I knew it would recover as I my debts were cleared. I learned a lot about my spending habits and how I could stay out of debt. It’s made me think carefully before deciding to buy. I’d recommend Freedom Debt Relief to anyone looking for a way out of debt, especially credit card debt. Listen to their methods and decide if you can deal with a moment of credit score drama in exchange for a lifetime of freedom from debt. I know it’s been worthwhile for me.
Thank you for sharing your experience with us, Ilsa. It is great to hear that you are happy with your choice of partnering with us to achieve a brighter financial future. We are excited for your new debt-free future and we will continue to be a source of support for you in the future. If you have any questions, just give us a call at 800-655-6303. Our Customer Service Representatives are ready to help. Thank you for letting Freedom Debt Relief be your partner on your journey to a debt-free future.
We enjoy working with FDR, they have been very good to work with. I recommend using them when you need financial help. They have been good and explained everything we needed to know and what to expect. This is a good way of paying your bills without filing bankruptcy.
Hi James, it is great to hear that you would recommend our company based on the great experience you had! We are honored to partner with you on your journey!
Excellent customer service. They kept me informed on everything that was going on with my account. I was informed by email and text messages. I could also go onto the dashboard to check the status of what was going on or to update and make changes.
Hi Lauren, rest assured our customer service team is ready to help at any point that you may need assistance! Thank you for allowing us the honor to partner with you in your journey to financial freedom!
Freedom Debt Relief has taken the headache away from me. It may take longer to pay these off, but at least I am not bothered with phone calls and emails. My goal is to be debt free in less than two years of at all possible.
Hello Jane, thank you for sharing your pleasant experience with us! We are happy to be able to help you during times of stress and need. Please let us know how we can continue to support you in your journey to financial freedom!
We are resolving debts and look forward to being debt-free soon. The initial consultation was very informative and explained the process. We have been seeing progress with the different companies. It is comforting to know that this is being done in a legal and God honoring manner.
Hi Theresa, thank you for sharing your experience! It is very important for us to provide the best experience for our members as we understand the support you need from us!
I am very please on all the help that I am getting from FDR. Quick response and great direction when needed. I would recommend this company’s to anyone I know that would need help on their finances. Thank you.
Hi Bernie, thank you for sharing your experience with us! We look forward to supporting you in your journey to financial freedom!
Freedom Debt Relief Company Information
- Social media:
- Company Name:
- Freedom Debt Relief
- Company Type:
- Private
- Year Founded:
- 2002
- Address:
- PO Box 2330
- City:
- Phoenix
- State/Province:
- AZ
- Postal Code:
- 85002-2330
- Country:
- United States
- Website:
- www.freedomdebtrelief.com