CareOne offers debt relief by developing debt management plans and settlement agreements between debtors and creditors designed to restructure or resolve unsecured debt, notes CareOne Credit Counseling. Credit counselors are instrumental in negotiating with creditors depending on a debtor’s specific financial circumstances.
CareOne debt management involves consolidating unsecured debt into one monthly payment by negotiating outstanding debt with creditors to secure more favorable repayment terms, such as lower interest rates and waived late fees, explains CareOne Credit Counseling. Debt settlement involves negotiating a lower debt amount with creditors and repaying a percentage of debt, which is generally about 50 percent over a three- to five-year period. Bankruptcy is the option of last resort that requires a legal process that a bankruptcy court must approve.