| Persels & Associates Settlement Competitive Analysis |
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Questions to ask your settlement company |
Industry Standard |
Persels & Associates (P&A) |
| Company History |
How long has your settlement company been providing financial assistance to your customers? How many settlements have you successfully negotiated for your customers? |
Most settlement companies are new and are only focused on acquiring new customers and not on negotiating settlements. |
P&A has been supporting people struggling with debt since 1997. Our attorneys carefully review each and every client's file to verify the client's status, as opposed to other firms who may only review a client's file if they are having problems. |
| Payment and Fees |
How much of my monthly contribution is allocated toward funding settlements and how much is allocated toward fees? |
Many settlement providers collect all of their fees upfront, regardless of a customer's success on their plan. With upfront fees, a customer's payment is almost entirely allocated to the settlement provider for the first 12 - 18 months on the plan. |
P&A uses a contingency fee pricing model. This means that we wait to collect the majority of our fees until AFTER a settlement is successfully negotiated. This allows the client to build up funds in their escrow account more quickly, which leads to quicker settlements. |
| Debt Settlement Process |
Can you explain your company's debt settlement process to me? |
Most firms do not begin negotiations until enough balance has built up in your account, which can often take months. This initial length of time, often referred to as the "quiet period", actually increases the risk of creditors taking legal action. |
Because we do not collect the majority of our fees until after a settlement has been negotiated, our clients are able to build up their escrow account balances quickly. This allows us to begin negotiating with creditors immediately. We use a customized and intelligent settlement platform that alerts us as to the best time and dollar amount to settle for. |
| Length of Time and Monthly Payment Amounts |
Will your settlement company work with me to review my full budget and to create an individualized payment plan that works for me? |
Most competitors do not offer flexible options when selecting the monthly payment amount and the length of time on the plan. Instead, they focus on a monthly payment that matches pre-set plan lengths. |
P&A offers settlements that suit individual client situations, with standard terms for Debt Representation of 36, 48, or 60 months long.We also offer a customized term for clients who require a more personalized payment option. Our goal is to find the right term for each client, so that they can achieve success in their debt representation. |
| Payment Processing Fees |
Does your settlement company charge additional 3rd party processing fees in order to access the funds in my account? |
Most competitors require that customers open an account with a 3rd party vendor and pay additional money in processing fees. These additional processing fees range from $10-$15 per month plus up to $20 additional for each creditor disbursement. |
P&A does not charge additonal fees for processing. Our system automatically debits a client's money and keeps it in a safe IOLTA (Interest on Lawyers Trust Account) until a settlement is negotiated. |
| Legal Support |
What type of legal support does your settlement company provide in the event that I get sued? |
Many competitors do not offer any legal support to customers if they run into legal challenges. Those that do provide legal assistance typically allow you to talk to a centralized attorney or paralegal who is not licensed in the customer's state. This greatly reduces any real help or the attorney would be risking the unlawful practice of law. |
Your assigned P&A attorney will assist you in dealing with any debt-related legal issues that arise during your debt representation at no additional charge. Your attorney will review your file each month, offer legal advice as needed, and answer your legal questions as they arise. |
| Customer Support and Interaction |
In what ways does your settlement company engage with its customers? |
All competitors offer some form of telephone servicing, mostly m-f. Interaction online tends to be "one-way", where customers can review limited content and articles as to how settlement works, and access financial calculators to help with budget calculations. Very few offer online servicing or account review. |
Because P&A offers full online and offline capabilities, our clients can choose how they want to receive their communications. Clients are able to take advantage of 24/7 online account information, education, and servicing. The "My Persels" portal allows our clients to view and track their own settlement progress as often as they like, making them an active participant in their success. |
| P&A Benefits |
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Multiple ways to meet individual needs:
- Full financial assessment and initial consultation with an attorney
- Personalized and ongoing coaching
- Customized term selection
- Contingency fee pricing model
- No additional payment processing fees
- A robust online environment, including a community, educational materials, and a "My Persels" portal
- 24/7 online servicing and account access
- Legal assistance as needed
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