Navigating Debt Settlement: If You Have Credit Card Debt, Talk to an Attorney

Until Suze Orman gets a basic understanding of debt settlement and bankruptcy laws, I won't recommend that any of my clients read her books. I wouldn't write a book offering medical advice for this same reason.

The Good News

The first thing you should know is that our money or the U.S. currency is not real. If we were using real money or money backed by gold or silver, there would be no way a law firm would be able to get your credit card debt settled and reduced by 60-70%. Lawyers who understand money creation know that it can be wiped away as easily as it was created (out thin air of course).

The second thing you should know is that YOU ARE NOT TO BLAME for your debt, debt is mathematically assured in the system we live in today.

Money Isn't Real. Why Everyone is Broke

EVERYONE IS BROKE! Countries around the world, the entire federal government, almost all the states, cities, municipals, small towns, businesses, and of course individuals- we are all BROKE! How can this be?

The answer is simple. We print our money out of thin air. The U.S. currency isn't real money because it isn't backed by gold or silver anymore as the constitution dictates (I guess our politicians thought that this clause was in the constitution by mistake!). Our currency is printed out of thin air, grown on a tree, created with the stroke of a computer key, etc…

Look at it this way, if someone dropped 420 tons of diamonds onto the open diamond market, guess what would happen? Diamonds would be worth about as much as aluminum. This is why counterfeiting is illegal.

Two hundred and twenty one years ago Thomas Jefferson said "Paper is poverty….it is only the ghost of money, and not money itself."

Before the 1930's if you were to take a $1 bill out of your pocket and read the bottom, it clearly stated: "Redeemable in Silver."

Hinging the dollar to gold or silver also means you cannot counterfeit the currency. Unhinging it means the government can counterfeit the currency and spend all the money they want because all they have to do is print it out of thin air.

An unhinged dollar inevitably devalues the purchasing power of our dollar and because our wages are not keeping up with the governments printing presses, Americans are squeezed into poverty by a dollar that doesn't by shit anymore.

In fact, if you look at the evolution of the dollar bill, the $1 bill was actually a certificate given to you by the bank responsible for holding your gold and silver. Because nobody wanted to walk around with gold and silver bars weighing their pants down, certificates or dollars were printed.

The Congress loves the printing press because it allows them to spend like wild animals. Counterfeiting our money also has advantages because it allows us to stimulate the economy in the short run.

Understanding the origin of money will help you understand why 8 out of 10 Americans are in debt, what you can do to escape the clutches of debt and more importantly why being in debt really isn't your fault. But beware, there are pitfalls along the way.

Debt Settlement Law Firms vs. Debt Settlement Companies

In addition to going out of business, taking all your money and never hearing from a debt settlement company again, you should know:

1. Debt settlement companies are not LAW FIRMS
2. They are often owned by the credit card companies
3. By law, only an attorney can dispute the validity of your debt
4. There are often federal and state law violations that can be used to persuade your creditor to reduce or eliminate debt
5. Only an attorney can identify violations and threaten to sue your creditor
6. Disputing the validity and settling debt does not create a tax burden

In addition to the Federal government contemplating legislation, Pennsylvania may introduce new legislation preventing everyone except PA attorneys from collecting upfront fees for Debt Settlement.

About 20 other states have already passed these debt settlement laws. For example in the state of New Jersey, only NJ attorneys are allowed to collect fees upfront (if the debtor resides in NJ).

In sum, don't call Suze Orman, she isn't going to help. Definitely don't call ABC Debt Settlement Co., odds are they were formed by the credit card companies and have their best interest in mind. No doubt, your best bet is to contact a debt settlement law firm.

Drew Alia is a Philadelphia Attorney, if you have any questions or comments, please email me at [email protected], thanks!