Debt Relief

Debt relief summary:

  • Debt relief is the process of restructuring debts to make them more manageable. 

  • Debt relief could also mean getting partial or full debt forgiveness.

  • A debt relief strategy could help you gain more control over your finances. 

Debt relief definition and meaning

Debt relief is any action that helps you manage or deal with your debts. Sometimes debt relief involves reorganizing your debt to make it more manageable. Other times, debt relief means full or partial debt forgiveness. The main idea is to get relief from overwhelming debt

.

More about debt relief 

If you have a lot of debt and are struggling, you may benefit from debt help

. 

Most of us take on debt at some point in our lives. Debt can become overbearing for any number of reasons, including medical events, job loss, and divorce. Having debt doesn’t make you a bad person. It makes you human. A debt relief option could help you improve your financial situation and move forward.

A debt relief strategy could bring you any of these benefits: 

  • Reduce your monthly payments 

  • Lower or eliminate some debts

  • Save money on total interest charges if you optimize your debt to a lower interest rate 

  • Get more time to pay off your debt 

  • Get caught up on debts you want to keep, like a mortgage

  • Get back on your financial feet so you can plan for your future

Types of debt relief

Debt relief could take any of these forms:

Debt resolution

Debt resolution

means negotiating with your creditors and lenders to reduce the amount of debt you owe. You pay the lower amount and they forgive the rest. 

If your creditor agrees to reduce your debt, you might be asked to make a lump sum payment in exchange for having some of your debt forgiven. Or your creditor might agree to let you make a series of payments. 

Bankruptcy

Bankruptcy

could help you eliminate or reduce your debts. There are strict rules, and the process is complicated. A bankruptcy attorney can help you determine if it's an ideal debt relief solution for your financial situation. 

Debt consolidation

Debt consolidation is when you use one new loan to pay off more than one smaller debt. This could be a good strategy if you qualify for better terms on the new loan (compared to your current debts).

If you have multiple high-interest debts, you might get any of these benefits from debt consolidation

:  

  • Organize your finances 

  • Fewer monthly payments 

  • Lower monthly payments if your consolidation loan has a lower interest rate

  • Pay off debt faster if you get a lower rate but keep paying the same amount 

  • Lower total interest charges if you get a lower rate and don’t take longer to pay off the debt

DEBT RESOLUTION

Leave debt behind, so you can move forward

Get rid of your debt in 24-48 months and reduce what you owe with help from debt experts.

Related Articles

overwhelming-debt.jpg

Resolve Debt

Overwhelming debt: finding the right help

There are many solutions for overwhelming debt. Find your best one here today and sleep better tonight.

Gina Freeman
debt-help.jpg

Resolve Debt

Debt help: Where to find it, what to do

Every debt problem has a solution. You can find the right one here. Putting off debt help almost never makes the situation better and may even make it worse.

Gina Freeman
what-is-debt-resolution.jpg

Resolve Debt

What is debt resolution and how can it help you?

If you’re deep in debt and can’t afford to get out, you might be able to resolve your debts for less than the full amount you owe.

Aaron Crowe
Achieve Logomark

Achieve is the leader in digital personal finance, built to help everyday people move forward on the path to a better financial future.

Footer Trust Pilot Marker

TrustScore 4.8/5

Footer Housing Marker

.

Footer BBB Marker

.

Personal loans are available through our affiliate Achieve Personal Loans (NMLS ID #227977), originated by Cross River Bank, a New Jersey State Chartered Commercial Bank, Equal Housing Lender. Loan applications are subject to credit review, underwriting criteria, and approval. Loans are not available in all states and available loan terms/fees may vary by state. Loan amounts range from $5,000 to $50,000. For loans $35,000+ must have a minimum 660 credit score. APRs range from 8.99% to 29.99% and include applicable origination fees that vary from 1.99% to 8.99%. Repayment periods range from 24 to 60 months. Example loan: four-year $20,000 loan with an origination fee of 8.99%, a rate of 15.49%, and corresponding APR of 20.77%, would have an estimated monthly payment of $561.60 and a total cost of $26,966.26. To qualify for a 8.99% APR loan, a borrower will need excellent credit, a loan amount less than $12,000.00, and a term of 24 months. Adding a co-borrower with sufficient income; using at least eighty-five percent (85%) of the loan proceeds to pay off qualifying existing debt directly; or showing proof of sufficient retirement savings, could help you also qualify for lower rates. Loan Consultants for Achieve Personal Loans are available Monday-Friday 6 AM to 8 PM AZ time, and Saturday-Sunday 7 AM to 5 PM AZ time.

Home Equity loans are available through our affiliate Achieve Loans (NMLS ID #1810501). Equal Housing Opportunity. Offers may vary and all loan requests are subject to eligibility requirements, application review, loan amount, loan term, income verification, and lender approval. Product terms are subject to change at any time. Offers are a line of credit. Loans are not available to residents of all states and available loan terms/fees may vary by state where offered. Line amounts are between $15,000 and $300,000 and are assigned based on product type, debt-to-income ratio and combined loan-to-value ratio. 10, 15, 20, and 30-year terms available. Minimum 600 credit score applies for debt consolidation requests (20 and 30 year terms require a minimum credit score of 640), minimum 700 applies for cash out requests. Other terms, conditions and restrictions apply. Fixed rate APRs range from 6.74% - 14.75% and are assigned based on underwriting requirements and offer APRs assume automatic payment enrollment which may provide a discount (autopay enrollment is not a condition of loan approval). All terms have a 5-year draw period with the remaining term being a no draw period. Payments are fully amortized during each period and determined on the outstanding principal balance each month. Closing fees range from $750 to $6,685, depending on line amount and state law requirements and typically include origination (3.5% of line amount) and underwriting ($725) fees if allowed by law. Property must be owner-occupied. Combined loan-to-value ratio may not exceed 80% (20 and 30 year debt consolidation requests may not exceed 75%), including the new loan request. Property insurance is required and flood insurance may be required if the subject property is located in a flood zone. You must pledge your home as collateral. Loan funding time is dependent on full application and documentation submission, average funding time is 11 business days for 2025, including rescission. Monthly/yearly savings claim is based on average monthly debt savings from originated loans for Q4 2024. Monthly/yearly savings varies based on each loan situation and can be more or less than $800/$10,000. Requirements to obtain 6.74% APR include: debt to income ratio <=15%; cumulative loan to value <= 50%, including new request; loan amount between $15,000 and $150,000; term of 10 years; FICO of 800+; and automatic payment enrollment. Contact Achieve Loans for further details

Affiliated Business Arrangement Disclosure: Achieve.com (NMLS #138464) and Achieve Loans are both wholly owned subsidiaries of Achieve Company. Because of this relationship, your referral to Achieve Loans may provide Achieve.com a financial or other benefit. Where permitted by applicable state law, Achieve Loans charges: 1) an origination fee of 3.50%, and 2) an underwriting fee of $725. You are NOT required to use Achieve Loans for a home equity line of credit. Please click here for the full Affiliated Business Arrangement disclosure form. Please click here for the full Affiliated Business Arrangement disclosure form.

Resolution is available through our affiliate Achieve Resolution (NMLS ID # 1248929). All estimates for Achieve Resolution’s services are based on prior results, which will vary depending on your specific enrolled creditors and your individual program terms. Not all Achieve Resolution clients are able to complete their program for various reasons, including their ability to save sufficient funds. Achieve Resolution does not guarantee that your debts will be resolved for a specific amount or percentage or within a specific period of time. Achieve Resolution does not assume your debts, make monthly payments to creditors or provide tax, bankruptcy, accounting or legal advice or credit repair services. Achieve Resolution’s services are not available in all states, including New Jersey, and their fees may vary from state to state. Please contact a tax professional to discuss potential tax consequences of less than full balance debt resolution. Read and understand all program materials prior to enrollment. The use of Achieve Resolution services will likely adversely affect your creditworthiness, may result in you being subject to collections or being sued by creditors or collectors and may increase the outstanding balances of your enrolled accounts due to the accrual of fees and interest. However, negotiated settlements Achieve Resolution obtained on your behalf resolve the entire account, including all accrued fees and interest. C.P.D. Reg. No. T.S.12-03825.

© 2025 Achieve.com. All rights reserved. NMLS #138464