You might have seen ads for companies that say they can reduce your debt – sometimes for cents on the dollar. All you have to do is pay them. But these offers are not always what they seem.

Watch this video to see the story of Ms. Dorothy Council, an active 84-year-old from Philadelphia, and her experience with a debt settlement company. (And the legal services attorney who helped her sort it all out.)


Before you jump into any kind of debt reduction program, do some homework first. It’s a good idea to find a reputable credit counselor to talk over your options – and know that debt relief companies can’t charge you before they actually settle or reduce your debt. If they try to charge you, walk away – and then tell the FTC.