Debt Settlement Contract Checklist
What it should state. What's commonly not stated. What to ask before you sign.
You're about to sign a debt settlement contract. This page lists what a complete one states, the lines that are commonly not stated, and the questions worth asking before your name goes on it.
This is a reading checklist, not advice. Spend Defense doesn't tell you whether to sign — we make sure you've actually seen what's on the page, and what isn't.
What a complete debt settlement contract states
Enrolled debts — each debt included, with creditor and balance, and any debts excluded.
Fee basis — how fees are calculated — on enrolled debt or on the amount settled — as a percentage or dollar figure.
Fee timing — when fees are charged, in relation to each settlement.
Monthly program payment — the amount you deposit each month.
Dedicated account — who holds the account, its fees, and that you own the funds.
Estimated timeline — how long the program is expected to take.
Cancellation and refunds — how to cancel, and the refund of funds and any unearned fees.
What's commonly not stated
- What is not promised — continued creditor calls, possible lawsuits, and credit effects are rarely spelled out.
- Tax on forgiven debt — forgiven amounts may be taxable; the contract seldom mentions it.
- Account fees — monthly fees on the dedicated account may be separate from program fees.
- Interest and late fees — balances can grow while you save toward settlements; the contract may not say so.
None of these gaps decide anything by themselves. They're the lines to ask about before you sign, not after.
Questions to ask before you sign
- “Which debts are enrolled, and which are left out?”
- “How are your fees calculated, and when are they charged?”
- “Who holds the dedicated account, and what are its fees?”
- “What happens if a creditor sues while I'm in the program?”
- “If I cancel, what do I get back?”
Want a second set of eyes on the actual document?
Send us the paperwork before you sign. A Quick Check reads your document and shows you what it says, what's not stated, and what to ask — for $4.99 (up to 10 pages). Longer documents: Document Review $19, Premium Review $49.
Check my document →We don't decide for you. We make sure nothing on the page — or missing from it — surprises you later.
FAQ
How much does debt settlement usually cost?
We don't price other people's services — fees depend on the company, the amount of debt enrolled, and how fees are calculated. What you can check is whether your contract states the fee basis, the timing of fees, account charges, and refund terms. If it doesn't, ask before signing.
What if something on this checklist is missing from my debt settlement contract?
Ask for it in writing before you sign. A missing fee basis or refund term isn't a verdict on the company; it's an unknown in a program that can run for years. Getting it stated on the page costs nothing and settles it before the first deposit.
Can Spend Defense read my actual debt settlement contract?
Yes. Short contracts fit the Quick Check ($4.99, up to 10 pages); longer ones with account agreements attached go through the Document Review ($19, up to 25 pages). You'll get back what it says, what's not stated, and what to ask — a document read, not legal or tax advice.
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Spend Defense — we read the paperwork before you sign. We don't decide for you.