Freedom Debt Relief Review [2024]

If you have a lot of unsecured debts, such as medical debt, credit cards, personal loans, and student loans, you may be able to settle them for less than you owe. While you can always negotiate with lenders on your own, working with a debt relief company like Freedom Debt Relief can make the process easier.

In this Freedom Debt Relief review, we’ll take a closer look at how it works, how it compares to competitors, and its pros and cons.

How Does Freedom Debt Relief Work?

Freedom Debt Relief offers debt settlement services, which is an affordable solution for those with a lot of high-interest unsecured debt. Your credit score is not a factor for enrolling in the program. However, you can only enroll in the program for unsecured debts.

You’ll start with a consultation with a debt consultant and enrollment, after which the debt negotiators will start negotiating with your creditors to settle your debts for less than you owe. You’ll deposit money in a dedicated account each month to save for a lump sum payment to your lenders.

Once you’ve deposited enough funds in the account, Freedom Debt Relief will get your authorization to pay your creditors. You’ll only pay fees to the company at this point. Once the debt has been paid off, the lender will report the debt as settled to the credit bureaus.

Pros and Cons of Freedom Debt Relief

Consider these pros and cons to determine if Freedom Debt Relief is the right option for you.

Pros 

• You don’t pay fees until a settlement is reached
• A+ rating from the Better Business Bureau (BBB)
• Lower minimum debt is required than many competitors
• Experience of over 20 years
• The debt settlement program comes with a guarantee

Cons 

• You’ll pay up to 25% of the enrolled debt as a settlement fee
• History of regulatory issues and lawsuits
• Settling your accounts can lower your credit score

Services Offered by Freedom Debt Relief 

Freedom Debt Relief offers debt settlement services. It can provide debt relief for unsecured debts, such as personal loans, medical bills, credit card debts, and payday loans. However, it doesn’t help with federal student loans, mortgages, auto loans, or other secured debts.

Costs and Fees

Freedom Debt Relief charges a settlement fee of 15% to 25%, with an average fee of 21.5%. The fee can vary based on your state of residence and amount of debt, and you’ll only pay it once the settlement is authorized.

Keep in mind that the fee percentage is based on the total debt enrolled in the program, not the settlement amount.

Time To Complete the Program

In most cases, clients are able to settle their debts and become debt-free in 24 to 48 months. However, it may take longer in some cases, depending on the debt amount and the ability to save money for the settlement.

Expected Relief Amount

Customers who enroll in debt settlement with Freedom Debt Relief can typically settle their debts for 50% of what they owe. However, this doesn’t account for fees. After fees, you can expect to save 25% of your debts.

Customer Service Options

There are several ways to get in touch with Freedom Debt Relief whether you’re a new client or an existing one.

Prospective Clients

Phone Number: 800-910-0065 (Monday to Friday: 8 AM to 11 PM EST, Saturday and Sunday: 9 AM to 9 PM EST)

Email: info@freedomdebtrelief.com

Current Clients

Phone Number: 800-655-6303 (Monday to Thursday: 8 AM to 9 PM EST, Friday: 8 AM to 8 PM EST, Saturday and Sunday: 10 AM to 8 PM EST)

Email: support@freedomdebtrelief.com

Address: 1875 S Grant St #400, San Mateo, CA 94402

Freedom Debt Relief Reviews and Feedback

One of the best ways to determine if a company is legitimate and if its services are satisfactory is by reading its online reviews. Here’s what you need to know about Freedom Debt Relief’s reviews on different platforms.

Freedom Debt Relief Reviews on Better Business Bureau

Freedom Debt Relief is BBB-accredited and has an A+ rating on the platform. It also has 4.48/5 stars from 1,929 customer reviews as of August 2024.

We read the negative reviews on BBB and found that a lot of reviews talk about high fees, accounts not being settled within the expected timeline, and communication issues with the company. Here’s one review we found:

“Contacted numerous times and informed them that my estimated graduation date is 2 years past the original date we discussed when I signed up. I signed up for a two year program and pay more money a month so I could be done quicker and Im estimated to be complete with their program in 4 years. $620.00 a month for 4 years is going to cost me the same amount than if I just paid to bills off myself. I was defrauded by this company, destroyed my credit, have two lawsuits against me currently, and receive no calls or emails from the company to discuss any of this. Also I did the math on my payments that are being made to them and 45% of all my payments made so far have gone towards fees. Total scam that I’m stuck in because if I stop paying Ill be sued by more creditors.”

Freedom Debt Relief also has a lot of positive reviews on the platform, and clients who leave these reviews are happy with the program results and the savings they are able to enjoy. Here’s one example:

“I have been in the program for close to a year now. I could not be any happier. the first few months were scary with the amount of phone calls I was getting and my credit dropping. but they prepared me for that. they have been negotiating with my accounts and I have 4 out of the 8 left to go. the dashboard is easy to use and I can see where my money is going. the fees may be a bit much but I’m thankful for the work they are doing for me. they are saving me from tons of interest I was getting lost in. very happy I signed up.”

Freedom Debt Relief Reviews on Trustpilot

Freedom Debt Relief has 4.6/5 stars from 43,690 reviews on Trustpilot as of August 2024. 79% of the reviews have a 5-star rating, while 3% of the reviews have a one-star rating.

Some of the lowest ratings highlight issues with customer service and high fees. Here’s one such review we found on Trustpilot:

“50% of credit card balance plus freedoms 25% plus all the late fees and interest added to the account can equal more than if you pay it yourself. If you contact your credit company and tell them of your situation yourself they will work with you to avoid using these third party companies that are making a profit from your hardship. RUN!”

Some of the positive reviews are from clients who were happy with helpful customer service and fast resolution of debts.

“I have been with FDR for over a year now which have resulted in 3 of my many debts being settled. My credit score is getting better and I'm having the best sleep ever. The FDR Team are very very professional and always helpful. Thank you FDR.”

Freedom Debt Relief Reviews on Reddit

While combing through Reddit posts about Freedom Debt Relief, we found that a lot of clients enrolled in the program weren’t aware of the impact of debt settlement on their credit scores. This is one of the reasons for the negative feedback. Here’s a comment on a Reddit post we found:  

“I enrolled in this program in late 2015. I would never recommend this to anyone. Problem is, they tell you to stop paying your bills. This ranks your credit anyway. By the time you realize it, it’s too late. I settled one account, realized the 40% reduction they get from the creditors goes back to them in the form of fees. Your payments are front loaded on fees, so the creditor sees very little at first. I decided that my credit was already screwed, and they weren’t going to help. So, I started taking the phone calls from creditors and worked out agreements to pay in full, no interest accrual over a specified period. I stopped authorizing the deductions from my account by FDR, but kept enrolled. That did buy me time to keep creditors at bay so I could pick them off one by one and pay them. I paid FDR for about a year, settled just the one. After that, I didn’t pay them a dime until I cancelled the account in 2022. After I had paid all of them off. So, I ended up using FDR as a shield, since I already had screwed my credit. Takes a lot of patience.”

How Freedom Debt Relief Compares To Other Debt Settlement Companies 

If you think debt settlement is a good option to get your debt under control, the next step is to decide which company to work with. Here’s how Freedom Debt Relief stacks up against its competitors.

Is Freedom Debt Relief Worth It?

If you’re struggling to keep up with your debt payments, Freedom Debt Relief can help you settle your accounts for less than you owe. While you may be able to save a considerable amount of money, keep in mind that your lenders are not obligated to accept the settlement offer.

You’ll also pay up to 25% of the debt enrolled as the company’s fees for debt relief services, which can bring down your savings considerably. Before you make a decision, we recommend comparing at least three debt settlement companies.

If debt settlement isn’t right for you, there are other options to consider, such as credit counseling, debt management programs, and debt consolidation loans.

Additionally, explore additional articles on various debt relief companies like Accredited Debt Relief and Level One Law to gain insights into their services and customer experiences.