Best Customer Experience

4.4 _/5

Debt Relief and Consolidation

No initial or monthly account fees added to settlement fee
Excellent customer experience based on thousands of Trustpilot and Better Business Bureau reviews
Fixed biweekly or monthly payments
Debt relief program fees are included in payment amounts
Initial soft credit pull
Empathetic debt relief consultants
No prepayment penalties
Monitor progress on company app

Must stop paying all creditors, likely for months
Credit score will decrease
Debt settlement fees are typically 25% of enrolled (not settled) debt amount
No guarantee of settlement success
Company website offers only limited details about the debt relief program
Not available in all states

Min. required debt	$10,000
Settlement fee	Typically 25% of the total enrolled debt
Additional fees	None
How much can you save?	Accredited says its clients typically “cut eligible monthly payments by 40% or more” and “pay off debt in 24 to 48 months.”

If you owe $10,000 or more due to credit cards, medical debt, personal loans, or private student loans, Accredited Debt Relief offers a program that it claims can help you pay off high amounts of debt in 24 to 48 months with biweekly or monthly payments that fit your budget. Once you enroll, the company’s debt consolidation specialists negotiate with your creditors to lower the amounts you owe.

Accredited Debt Relief stands out for its exceptional customer experience, with thousands of excellent reviews on Trustpilot and the Better Business Bureau (BBB)—plus an A+ BBB rating. While the program offers a streamlined way to manage debt and reduce what you owe, it’s important to weigh the potential drawbacks of debt relief programs before enrolling.

Table of Contents

How does Accredited Debt Relief work?

Accredited Debt Relief, based in San Diego, California, claims to have helped customers pay off $2 billion in debt over the past 12 years. It offers two primary options: debt relief programs and debt consolidation loans through its partners.

Here’s how its debt relief program works:

1. Free consultation and application

Fast process: Apply online or schedule a free consultation in minutes.
Information needed: During the consultation, a debt specialist gathers details about your Social Security number, income, employment, and monthly expenses.
Soft credit pull: The company performs a soft credit inquiry to assess your eligibility without affecting your credit score.

2. Program enrollment

If eligible, you’ll enroll in the debt relief program, which typically charges a settlement fee of 25% of your total enrolled debt.
A payment amount is determined, and an FDIC-insured escrow account is set up for your deposits.

3. Stop creditor payments

Accredited Debt Relief will instruct you to pause payments to creditors listed in the program while funds in the escrow account accumulate. This buildup gives leverage to the debt specialist negotiating on your behalf.

4. Negotiation process

Once sufficient funds accumulate, the specialist negotiates with creditors to reduce your balances.

Example

Enrolled debt: $20,000
Negotiated debt: $12,000
Settlement fee (25%): $5,000
Total paid: $17,000 (savings: $3,000)

5. Final payment

After negotiations, payments are made to creditors from your escrow account.

Consider these points when determining whether Accredited Debt Relief is right for you:

Accruing interest: While you wait for funds to build up, interest on your debts continues to accrue, which could add hundreds or thousands of dollars to your balances.
Settlement fee: At 25% for the typical settlement, the fee is substantial and may offset some savings.

Accredited Debt Relief’s program could help you pay off debt for less than the total amount owed, but the benefits depend on your specific financial situation and the time you need to settle debts.

Understand the debt relief process and industry-wide drawbacks

Debt relief programs, including those offered by Accredited Debt Relief, are designed to help borrowers manage overwhelming debt, but they come with significant risks. These programs typically involve stopping payments to creditors, which damages your credit score and can lead to creditor lawsuits while you build up funds in an escrow account.

Settlement fees, which average 15% to 25% of enrolled debt, also reduce the overall savings achieved. These challenges are inherent to debt relief programs across the industry, not specific to Accredited Debt Relief, so it’s critical to consider whether this type of program is the right fit for your financial goals.

Pros and cons of Accredited Debt Relief

The company’s debt relief program is designed to help you pay off enrolled debt, ideally at lower amounts, within 24 to 48 months. However, the program has important drawbacks to consider before enrolling.

Pros

Fixed biweekly or monthly payments

Payments are structured to fit your budget and remain consistent throughout the program.
Debt relief program fees are included in payment amounts

Accredited ensures that its settlement fees are bundled into your monthly or biweekly payments, so no upfront fees are due.
Initial soft credit pull

The company conducts a soft inquiry when evaluating your eligibility for the program, which does not impact your credit score.
Empathetic debt relief consultants

Accredited is known for its compassionate and understanding approach to working with clients. Its consultants aim to tailor solutions to your unique financial situation, helping to reduce stress during a difficult time.
No prepayment penalties

You can pay off your program balance early without incurring additional fees.
Company app

Accredited provides a user-friendly app to track your program’s progress in real time. Its features include updates on settlements, payment schedules, and balances owed, ensuring full transparency.
Excellent customer reviews

Its reviews on Trustpilot and BBB highlight the strong track record of customer satisfaction and effective service.
No fees added to settlement fee

Accredited only charges a settlement fee, with no extra account maintenance or monthly fees.

Cons

Only available in 31 states

The states where its services are available are not listed on the website.
$10,000 minimum required debt

Those who owe smaller amounts won’t qualify for Accredited Debt Relief.
Negative effect on your credit

When you stop paying creditors for several months, late payments and collection status lower your credit score. These negative marks stay on your credit report for up to seven years.
High fees

Fees you pay on settled debts are typically 25%, based on a percentage of your enrolled debt amount, not on the negotiated amount. You won’t pay the fee until you agree to the settlement amount.
No guarantee

The company doesn’t guarantee negotiation success.
Creditors may sue

While you’re growing your escrow account for future debt settlement negotiations, creditors may file lawsuits against you for past-due amounts.

Tip

Many drawbacks listed here are not unique to Accredited Debt Relief but are common to all for-profit debt relief programs. These include the risk of credit score damage, high settlement fees, and no guarantee of success. It’s important to weigh these risks against the potential benefits before enrolling with any debt relief company.

Is Accredited Debt Relief legit or a scam?

Accredited Debt Relief is a legitimate debt relief company. It is BBB-accredited and has a BBB rating of A+. The company is also a member of the American Association for Debt Resolution. As you can see below, it earns thousands of high ratings, along with Trustpilot and Google.

Platform	Rating	Number of reviews
Better Business Bureau	4.89/5	2,149
Trustpilot	4.9/5	7,228
Google	4.8/5	8,229

Collected on November 18, 2024.

However, when we read through the first 30 five-star customer reviews on Trustpilot, Google, and the Better Business Bureau, none reported settling or paying off any debts. Most had recently enrolled and were looking forward to what they hoped might be good results. One-star reviewers on all three review platforms reported getting constant phone calls from the company after they decided not to enroll. Many reviewers reported being sued by their creditors.

The company’s marketing practices have also been questioned. In 2022, the National Advertising Division (NAD) of BBB National Programs recommended that Accredited Debt Relief and its parent company, Beyond Finance, stop making unqualified statements about their debt relief program.

The company claims in question: The debt relief program could cut customers’ debt by up to 50%, reduce monthly payments by half, and eliminate debt in as little as 12 months. The NAD found the claims weren’t typical of the customer experience.

In 2020, the Office of the Consumer Credit Commissioner ordered Accredited Debt Relief to file timely and accurate annual reports after the company failed to file its 2019 annual report.

Is Accredited Debt Relief worth it?

If you have a high amount of debt from credit cards, medical bills, private student loans, or personal loans, the Accredited Debt Relief program can sound appealing. Making only one or two payments a month instead of keeping track of several every month might sound less stressful, especially if you’re only making minimum payments on your cards.

However, like all debt relief companies, Accredited Debt Relief can’t guarantee that it can negotiate your debt to a lower amount. Settlement fees, which are typically around 25% of the enrolled debt, may reduce the financial benefit of the program if settlements only moderately decrease your total debt. Ceasing payments to creditors while building escrow funds—an industry standard—can harm your credit score, with negative marks remaining on your report for up to seven years.

Debt relief programs should be a last resort for getting to a zero balance. Before enrolling, calculate how much you’d pay in credit card interest versus fees you’d pay using the Accredited Debt Relief debt relief program. Before you enroll, explore options with personal finance companies that may offer better solutions for paying off debt.

Another option may be to consolidate debt with a personal loan or transferring balances to a 0% introductory rate card for up to 21 months while you pay down the balance.

How to Choose Between Debt Relief vs. Debt Consolidation; Is Debt Relief a Good Idea?

Alternatives to Accredited Debt Relief

Our team has rated several debt relief providers. We think two excellent alternatives to consider are:

National Debt Relief has far more reach than Accredited. It’s available in 48 states.
Freedom Debt Relief requires just $7,500 in debt, compared to Accredited’s $10,000 minimum.

Best Overall

4.9

Visit Website

Best Personalized Plans

4.6

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Accredited Debt Relief is one of several top-rated debt relief companies, alongside National Debt Relief and Freedom Debt Relief. While Accredited Debt Relief stands out for its excellent customer experience and empathetic consultants, all for-profit debt relief programs share similar challenges, including potential credit score damage, creditor lawsuits, and high fees.

Compare programs to determine which company offers the best combination of service quality, transparency, and value for your needs.

FAQ

Will working with Accredited Debt Relief hurt my credit?

Yes, working with Accredited Debt Relief—or any debt relief company—can damage your credit. Debt settlement programs typically require you to stop paying creditors, resulting in late payment marks on your credit report. This is a standard practice across the industry and a necessary step to build leverage for negotiations.

However, many clients find that the long-term benefit of resolving significant debt outweighs the short-term impact on their credit.

Do I need a minimum credit score to work with Accredited Debt Relief?

No, Accredited Debt Relief does not require a minimum credit score to enroll. Its focus is on helping individuals manage unsecured debt, regardless of credit score, but it will assess your financial situation to determine the program’s suitability.

How long does it take for Accredited Debt Relief to settle my debt?

The time frame varies depending on your debt amount and ability to make consistent program payments, but most clients can expect a typical program to last between 24 to 48 months.

Is there a minimum amount of debt I need to work with Accredited Debt Relief?

Yes; Accredited Debt Relief requires a minimum of $10,000 in unsecured debt to enroll in its debt relief program. This amount aligns with its structure to reduce client balances through settlement.