Consumer Debt Help Association is a debt resolution and financial services company based Delray Beach, Florida. The company was formed in 2009 by Timothy Cerruti, who is still the CEO. Cerruti used to work as a manager for a mortgage company before founding CDH. During the housing market crash of 2008, he saw first hand that consumers needed professional help with their debt problems. The debt settlement industry was charging upfront fees to customers that were hurting instead of helping debtors. When he launched Consumer Debt Help, he did not charge upfront fees. Now, all debt relief firms have this policy because it is a legal requirement, but CDH has been doing it since the beginning.
CustomConsumer Debt Help is a BBB accredited business with an A+. All of Consumer Debt Help Association, or CDH, debt mediators are certified by the International Association of Professional Debt Arbitrators, IAPDA. Consumer Debt Help is also a member of the American Fair Credit Council, AFCC.
In 2015, CDH settled $7.8 million and saved its clients $4.3 million. During that year, it settled 1,531 accounts. Not bad for a company with only 13 employees.
Consumer Debt Help offers nationwide debt settlement and debt consulting services. CDH will work with all types of unsecured debt, which includes any loan that is not secured by a lien or collateral. Unsecured loans include medical bills, lines of credit, personal loans, repossessed cars, and even unpaid balances on foreclosures.
Consumer Debt Help Association’s debt resolution program is an alternative to bankruptcy for consumers who can’t afford to pay delinquent accounts in full. As with most debt relief companies, CDH asks its clients to stop making payments to their creditors. Instead, clients are to make monthly payments to a settlement account. Consumer Debt Help then uses the funds in the settlement account to negotiate a reduced payment with creditors.
The savings obtained by CDH’s settlement services vary from case to case. Since 2012, the average settlement has been 36% of the initial account balance without including CDH's fee.
Debtors must be able to make monthly payments into the settlement account to qualify for CDH’s debt settlement program. However, CDH does not penalize debtors who fall behind in their monthly contributions to the settlement account. The more money clients can deposit, the faster the debt is settled. The monthly deposits are generally arranged to be lower than the previous monthly loan payments so that clients can afford them. According to CDH, only 8.5% of clients drop out of the debt relief program, and 9 out of 10 of those that drop out do it in the first three months.
Debt settlements generally take 12 to 40 months to process. The average time of completion is 26 months.
Consumer Debt Help never charges more than 15% of the original debt. Some states have a lower cap on debt settlement fees, which CDH adheres to. CDH only charges a fee when an account has been settled. In other words, there are no upfront fees.
Consumer Debt Help Association will provide consulting services for all levels of debt. However, its debt settlement services are usually for debt amounts of over $7,500. CDH will consider debt accounts as low as $500 in cases where it makes financial sense for the customer.
Consumer Debt Help Association provides the following advantages:
- Its debt mediators are certified by the International Association of Professional Debt Arbitrators, IAPDA.
- It is a BBB accredited business with an A+ Rating
- New clients get a complimentary consultation.
- No upfront charges
- Consumer Debt Help Association is certified by the American Fair Credit Council. The AFCC is the only association in the debt settlement industry that enforces industry best practices and protects the interests of debt settlement customers.
On the other hand:
- Consumer Debt Help is not available in all states.
- CDH is a smaller company with just 13 employees.