I just saw an ad for First Advantage Debt Relief and felt compelled to write and explain what you may be seeing.
Most people I speak with want to pay off their debt, but often end up paying credit card minimums for eternity or end up with less in their bank account at the end of the month, which is why we built our
free debt options calculators that helps people compare their
current monthly debt obligation to a more affordable monthly debt obligation via 6 different options such as consolidation loans and credit counseling to save them money and provide instant relief.
Let's examine First Advantage Debt Relief and consider which of the 6 different options it may be pitching to you.
I'd estimate that First Advantage Debt Relief has many ads, but the ad I watched shows Meylin Lopez explaining how good God is, so this appears targeted at Christians. I saw a similar ad for the
Christian Savings Club that I also had to write.
As a Christian, I was immediately interested to hear what she was trying to sell. What I found was very interesting, so let's get started.
The next part of the ad became more confusing. She showed a group of bills on a table and a random assortment of $100 bills.
The biggest thing I caught from this segment of the ad is that she applied to "some company" (which we will discuss later), that company deposited over $30,000 into her checking account, and that she was able to use that to consolidate debt.
Now, she next says that this is not bankruptcy (obviously), this was not a personal loan, and this was not money she had to pay back.
Here are some screenshots I thought helpful if you had seen a different ad.
Step 1: Meylin Lopez states she gets over $30,000 into her checking account.
Step 2: She states that this is not a personal loan.
Step 3: Meylin Lopez mentions that she does not have to pay it back.
At this point, I felt something was too good to be true, so I clicked on the ad and went through the application. It took me to First Advantage debt relief's webpage.
These are standard ads, and my understanding is that First Advantage may sell your information to a partner for a referral fee, so I wanted to understand who are First Advantage's partners to see what product Meylin Lopez is pitching.
I reached the final page and saw all the partners, including such partners as TurboDebt and JG Wentworth, which I am very familiar with.
First Advantage May Be Pitching You Debt Relief
I mentioned six different options that the best debt options calculator below helps you compare your current monthly obligations to, and it looks like First Advantage is the option known as debt relief, also known as debt settlement, debt consolidation, and debt negotiation.
Let's look at the pros and cons of this option, so you can see whether it's one of the 6 options you may have that will provide the best debt relief.
| Debt Settlement Pros | Explanation | Importance |
|---|
| Savings | You often pay less than owed. The savings vary by creditor, but the savings can be 50% or higher. | High |
| Payment Flexibility | You have more flexibility to set the amount for your escrow account each month than a bankruptcy or a loan. | High |
| Time | Debt settlement programs can produce debt freedom much faster than making minimum payments or pursuing a consolidation loan. | Medium |
| Avoid Bankruptcy | Debt settlement can be a great alternative to bankruptcy in certain situations. | Medium |
| Financing Flexibility | You may have access to credit or. a loan faster with debt settlement than bankruptcy. | Medium |
| Accountability | Canceling your credit cards in debt settlement can act as accountability. | Low |
| Debt Settlement Cons | Explanation | Importance |
|---|
| Credit Score and Credit Report | Your credit score will often be negatively impacted during the program, so the question is whether getting out of debt is more important than your temporary credit score. Your credit report will also show that you settled your debt which can have adverse effects. | High |
| Creditor Lawsuit | Creditors may file a lawsuit. | High |
| Late Fees and Interest | The debt owed at negotiation is often higher, so negotiations are on a higher amount. | Medium |
| Creditor May Not Work With You | Creditors may not accept settlement offers to settle debt. Ascend has data to help determine likelihood of settlement at enrollment, but creditors policies and procedures may change. | Medium |
| Potential Taxes on Forgiven Debt | Forgiven debt may be taxable if the individual is solvent. Often, many individuals can qualify for technical insolvency, but that does not apply to everyone. | Medium |
| More Expensive than Chapter 7 Bankruptcy | Debt settlement often costs more than a Chapter 7 bankruptcy and potentially a Chapter 13 bankruptcy. | Low |
Finally, consider whether I could find anything on First Advantage Debt Relief reviews.
First Advantage Debt Relief Reviews
Unfortunately, I could not find any relevant First Advantage debt relief reviews when I searched.
I found a website offering First Advantage reviews, but the company was unrelated to First Advantage Debt Relief.
Has Consumer Reports Reviewed First Advantage Debt Relief?
Consumer Reports provides product reviews, ratings, and buying advice. I searched whether Consumer Reports had reviewed First Advantage Debt Relief, and I could not see anything that would indicate that it had.
Yes
No