Money Ladder offers debt resolution services that help people get out of debt. They advertise their services at moneyladder.com, and work by matching customers with debt relief companies that negotiate with creditors to reduce what they owe. In this review, we’ll take a look at the pros and cons of using Money Ladder for debt relief.
Overview Of The Company
Money Ladder has received much attention lately. So we decided to look closely at the company and see what they are all about.
This company offers debt settlement, also known as debt resolution programs, through its network of trusted partners. Their site states the following:
“Our partners will resolve your debt as quickly as possible allowing you to break free from sky-high interest rates.”
After investigating their website and reading the fine print, we found some interesting facts.
- People can save around 46% on their total debt before fees. Including fees, the average savings is closer to 20%.
- Interest Rates range from 4.95% to 35.99%
- Loans vary from $5000 to $50000 and terms from 12 to 60 months
- Not all debts can be enrolled. Some restrictions may apply.
- They do not guarantee that your debts will be lowered by a specific amount or percentage or that you will be debt-free within a particular time.
- Not available in all states.
Creditors are under no obligation to negotiate debt resolution with third parties. Some creditors may only be willing to do so under specific circumstances, such as a charge-off.
Money Ladder is a service that connects you with debt settlement partners. Additionally, they mention personal loans in their mailers, but to obtain these loans, Money Ladder will forward your information to a third-party lender or lenders for approval on an unsecured personal loan.
The BBB accredited this company and gave them an A+ rating. Their accreditation dates back to May 19th, 2022, and they have no registered reviews or complaints. Money Ladder is located at 5716 Folsom Blvd #407, and their phone number is (888) 585-8492.
How do Their Services work?
Money Ladder’s services involve connecting you with debt relief companies that can negotiate with creditors to lower the amount of debt owed. While this is most effective for unsecured debts, such as credit cards, not all debts may be eligible for the program. Additionally, some clients may be unable to finish the program due to a variety of factors, including the inability to save sufficient funds.
It’s important to note that the company cannot guarantee a specific reduction in debt amount or that you will become completely debt-free within a set period of time.
One of the perks of using Money Ladder for debt resolution is that you do not need to pay any upfront fees. You will only owe the company money once they have assisted in negotiating with your creditors and effectively reduced your overall debt. Clients who successfully complete the entirety of the program and have all debts settled can save up to 20% (including fees) or 46% (before fees.)
Money Ladder is recognized by the BBB and has received an A+ rating, but there are no complaints or reviews in their BBB record. They don’t have a file with the American Fair Credit Council either. Nonetheless, there some customer reviews available on TrustPilot. Overall, customers have had a mixed experience with Money Ladder.
Here are a couple customer reviews that we found on Trustpilot:
Frequently Asked Questions
How much do they charge?
According to Money Ladder’s website, they will not charge you for debt management services until you obtain the intended results from their program. If you’re able to stay in the program and settle all of your unsecured debt, such as credit cards or personal loans, you should anticipate paying an average fee of 26%.
However, keep in mind that Money Ladder cannot assist with secured debts like mortgages or auto loans. Additionally, it’s important to note that debt negotiation is not a magic solution to your debt problems. You will need to maintain discipline with your spending and avoid incurring new debts. Nevertheless, settling your debts through this method can help you save money and become debt-free quicker if you’re struggling to manage several credit card debts with high-interest rates.
What is the minimum credit score for a Money Ladder loan?
Money Ladder reviews your credit history to make sure you’re eligible. But, there is no minimum credit score requirement.
What is the impact of Money Ladder on my credit score?
They may carry out a soft credit check to assess which offers you may be eligible for. It is similar to what other financial companies do before making their first offer. Soft inquiries don’t have any impact on your credit scores.
There are a few things to know about how settling debts can affect your credit score. It’s important to remember that simply settling an account will not immediately remove it from your credit report. If you have been late on payments, the account will remain on your credit report for seven years from the original delinquency date.
On the other hand, if the account was positive with no late payments, it will be removed seven years from the date it was settled. Keep in mind that this information is just a general overview. For specific questions about your financial situation, it’s always best to speak with a professional.
How to Cancel Their Services
If you’re struggling with your finances and considering signing up for a debt settlement plan, it’s crucial to be aware of the difficulties that come with cancelling the contract once you’ve signed it. Cancelling the plan becomes trickier if you’ve already paid the company for their services. In that case, you are unlikely to receive a refund.
To avoid unwanted or unauthorized charges, it’s highly recommended to contact your bank and terminate any agreement that allows a debt settlement company to withdraw fees from your bank account. It’s recommended to act promptly.
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- To cancel your debt settlement agreement, you will need to contact both your debt settlement company and creditor, unless the agreement has reached its end date. Cancelling ahead of time may result in penalty fees, though on some occasions, these fees may be waived.
- It is essential to follow the specified cancellation process set by the company, which typically requires notifying them of your intention to opt-out of the agreement while continuing with your original debt payments. Note that notifying the debt settlement company alone isn’t sufficient, and there may be additional steps required.
- The final phase of getting out of debt involves paying any outstanding fines. To evade being trapped in a legal dispute, it is crucial to end your debt settlement agreement first.
- After exiting your debt settlement agreement, you will need to meet with your creditors to make a plan to repay your outstanding debt. You have two options, either renegotiating the original debt agreement or adhering to the original agreement. Any missed or owed payments should be paid at this point.
Final Thoughts: Is Money Ladder a Scam?
If you’re thinking about utilizing Money Ladder for debt settlement, you might be wondering about the company’s legitimacy. Money Ladder is a trustworthy firm, but online reviews about moneyladder.com have been mixed. While some customers had positive encounters with the company, others have had issues with them.
When thinking about using Money Ladder to get rid of your debt, it’s important to assess and understand all of your options before making any decisions. It’s suggested to check out reviews from different sources to ensure that you have a well-rounded understanding of their services.