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Freedom Debt Relief

4.5 Stars
Updated: January 23, 2023
By: Jeff Smith
Jeff Smith
Sr. Content Manager
As Retirement Living’s senior content manager, Jeff oversees the product and publishing of all retirement, investing, and consumer wellness content on the site. His extensive expertise in brand messaging and creating data-driven stories helps position Retirement Living as a top authority for senior content and community resources.
Sr. Content Manager
Edited By: Lauren Hamer
Lauren Hamer
Bringing more than a decade of editorial experience to Retirement Living, Lauren focuses on reporting senior-related issues, including retirement planning, finance, consumer protection, and health and wellness. Lauren has edited consumer content for Credible, Angi, Slickdeals, Jobs for the Future, and more.

Freedom Debt Relief offers tailored debt settlement solutions to individuals overwhelmed by financial burdens. Highly trained experts at Freedom Debt Relief negotiate their client’s debt down to deliver an affordable payment plan. The company's mission is to take the “human approach to debt relief," and their target is to get people out of debt as soon as possible and for less than they originally owed.

Freedom Debt Relief

Editorial Breakdown

Costs 4.3 Stars
Services 4.5 Stars
Customer Service 4.6 Stars
Fees 4.7 Stars

Overall Rating 4.5 Stars

Bottom Line

Freedom Debt Relief has provided more than $10 billion in debt relief since 2002 with customized debt settlements for each client.

Freedom Debt Relief Review

Financial hardship due to divorce, illness, job loss, or other personal circumstances can cause bills to pile up. Freedom Debt Relief can help you when there’s no way out of debt, struggling to make payments, being bombarded by collection calls and you’re not eligible to file for bankruptcy.

We included Freedom Debt Relief in our Best Debt Consolidation Companies guide because the company has a proven track record after delivering over $10 billion in debt relief. Also, their online client dashboard is a wonderful way to keep lines of communication open, giving its clients peace of mind.


  • Highly experienced
  • Customized debt relief solutions
  • Informative website


  • Fee information difficult to find on website

Freedom Debt Relief Services

Freedom Debt Relief offers debt settlement services to individuals facing financial hardship. Clients often get out of debt faster than they could on their own and for less than they owe. Providing an individual solution to each consumer, the company negotiates with creditors on behalf of clients.

Freedom Debt Relief uses a four-step process to work out debt settlements:

  1. Build: You make payments to a FDIC-insured savings account each month. You own the account and have complete control over it, while Freedom Debt Relief is a trustee. As the balance increases, Freedom Debt Relief establishes a debt settlement plan.
  2. Negotiate: Freedom Debt Relief works out settlement plans with your creditors after you accumulate an agreed-upon level of savings. The agreement allows you higher savings compared to other methods of debt settlement.
  3. Settle: You will approve all settlement agreements with creditors before starting a payment plan.
  4. Freedom: The first three steps repeat until every account is settled and paid off, and you become debt-free.

To see your plan in progress, you can log on to the Client Dashboard at any time. The dashboard shows your savings level and the status of negotiations. You can also authorize settlements online as well. If you prefer, you can call Freedom Debt Relief for an account update.

Freedom Debt Relief Details
Types of Debt Debt Settlement Savings

Debt Freedom Timeline
$7,500 minimum
Unsecured credit card, personal loan, medical
Private student loans and business debt on a case-by-case basis
Possibly 50% or more
Freedom Debt Relief’s statement: follow the entire program, and you’ll pay approximately 70% to 75% of original enrolled debt
24-48 months to complete pay-off. Some clients take up to 5 years.

Debt Management Help from Freedom Debt Relief

Freedom Debt Relief’s website provides consumers with an abundance of financial education materials that explore different options to control their debt. Site visitors can learn about the pros and cons of credit counseling, debt management, debt consolidation, cash-out refinancing, bankruptcy and more. The site also features a regularly updated blog that discusses credit, debt and general personal finance topics. Finally, Freedom Debt Relief offers a free, downloadable guide to help individuals manage their debt.

>How to Sign Up with Freedom Debt Relief

To qualify for Freedom Debt Relief’s program, fill out an online questionnaire on the website with this information:

  • Types of debt you want to pay off
  • Total amount owed
  • If you are behind on making payments
  • Your state of residence

Qualifying for a Freedom Debt Relief Program
If you qualify for help from Freedom Debt Relief, you’ll enter your contact information, date of birth and give consent for the company to obtain your credit report. Freedom Debt Relief will then follow up with a complete consultation. If you don’t qualify, you will receive instant suggestions for alternatives such as a debt consolidation loan.

Free Financial Consultation
The consultation involves evaluating your finances and goals to determine if the Freedom Debt Relief program is a good fit for your situation. This discussion allows consumers to make an informed decision after learning more about the company, as well as other options they could use to pay off debt.

Freedom Debt Relief Costs

Freedom Debt Relief clients pay nothing until a settlement is reached with a creditor, following Federal Trade Commission regulations. The company typically charges 15% to 25% of the settled debt as the fee, but this can vary by state. Optional monthly installments make the cost more manageable.

Freedom Debt Relief Complaints

Freedom Debt Relief is a ConsumerAffairs accredited brand, earning a rating of 4.5 out of 5 stars. The company gets a 9.1 on a scale of 10 from Trustpilot, and thousands of consumer reviews rating the company a 5 out of 5 stars. ConsumersAdvocate ranks the company as “Excellent” with a perfect score of 10 for pricing and consumer qualification for services. Freedom Debt Relief is a founding member of the American Fair Credit Council, a nonprofit organization which works to improve regulations and increase transparency in the debt relief industry.

Freedom Debt Relief Q&A

  • Does Freedom Debt Relief guarantee a certain debt settlement percentage?

    No. Each negotiation is different and depends on the client’s ability to save money in the program bank account. Freedom Debt Relief can’t make any promises before negotiating a settlement.

  • Can Freedom Debt Relief settle credit card accounts if my payments are not delinquent?

    It’s unlikely Freedom Debt Relief could settle accounts you are actively paying off. Creditors are motivated to offer settlement deals to those who demonstrate an inability to pay while defaulting on their debt.

  • Can creditors sue me while I’m enrolled in a Freedom Debt Relief program?

    You remain subject to the consequences of outstanding bills while enrolled in a Freedom Debt Relief program. Interest and fees will accumulate on your account balances, and which could go into collections. Legal action is a possibility, and your credit score will likely drop. Freedom Debt Relief offers an optional subscription to the National Litigation Law Group — a company that provides legal representation to Freedom Debt Relief clients if creditors decide to sue.

  • Are there any tax implications to using Freedom Debt Relief’s services?

    If Freedom Debt Relief negotiates a settlement, the forgiven debt over $600 is taxable income per the Internal Revenue Service. Consumers may qualify for an exemption but should consult with a tax professional for guidance.

  • Does Freedom Debt Relief give loans to clients to pay off debt settlements faster?

    The company does not issue loans directly. However, Freedom Debt Relief partners with a lending company and qualified clients often opt to take out a loan to expedite the settlement process. Clients must demonstrate prolonged diligence in depositing funds into their program savings account to be considered for a debt consolidation loan.


Freedom Debt Relief resolved over $10 billion in debt since 2002, making it a leading debt settlement company. Representatives and consultants at the company treat clients with respect and dignity. Freedom Debt Relief customizes each solution to meet the client’s needs. After working with over 600,000 people over 17 years, the company has the level of experience to help many individuals settle outstanding debt.

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