Preferred Financial Services is a company that has over a decade of experience in the financial sector and specializes in debt settlement. They have successfully lifted thousands of individuals out of the vicious cycle of debt. 

The Good

Low Minimum Requirement

Preferred Financial requires a minimum debt of $5,000 in credit cards, department store cards, medical bills, repossessions, and personal loans to be able to qualify for their services. Much of the competitions require $7,500 to $10,000 or more to secure settlement services.

Fast Resolution

The company’s goal is to resolve a client’s debt in fewer than 36 months because the risk of litigation becomes too high anytime after that. The company charges clients on a case-by-case basis, and on average, they can expect to see charges range from 15-20% of the total amount of debt enrolled into the settlement program. In the case that a client becomes dissatisfied with the results or the settlement amount, they are free to keep any money in their savings account, as settlement companies are required to work on a performance-based model as ruled by the FTC in 2010.

Free Consultation

Preferred Financial Services offers potential clients a free consultation where they will discuss whether or not the client's debt needs fit the services that the company provides

The Bad

Questionable Level of Experience

There are a few points of concern with this company. First off, there is no information regarding the history or experience of the debt negotiators. We would also like to see some sort of spark note version of the company’s procedure, background, and experience within the team. It would be very helpful to know if the debt negotiators are actually experts and if the client can count on them to take care of their very serious debt issues.

Lack of Resources

The company also lacks resources or tools for the client to help them get through the settlement process. Financial literacy is one of the biggest contributing factors for keeping individuals out of debt and creating a financially independent lifestyle. This company also lacks an interactive online dashboard where clients can monitor the status of their case. Our team of researchers was not able to find a “Terms and Conditions” and “Privacy Policy” anywhere online. Usually, a potential client can get a good sense of how the company operates by reading through the fine print. Unfortunately, individuals are not given the opportunity to do this with this company.

Lacking Transparency in Pricing

Last, there are many questions surrounding their pricing structure. From the research we conducted, we found that some consumers were paying 15% of debt, while others were paying upward of 25%. It was made nearly impossible for us to gather any more information as the e-mail address for the company wasn’t active and the phone number was inactive. We were also able to find a customer complaint about a monthly $30 maintenance fee for the entire duration of the program, which is unnecessary and excessive from our point of view.

The Bottom Line

There are several key points to keep in mind when considering this company for your settle needs. They do not exercise any transparency in regards to their pricing, and they lack greatly in general information about how the company operates. There wasn’t even a working phone number or e-mail for us to use to clear the confusion. Due to this, we suggest individuals take advantage of the free consultation to get a better picture of what Preferred Financial Services is about. Overall, we would not recommend this company.