Not all debts are good candidates for including them in a debt settlement program. A reputatable debt settlement company should be able to tell you which debts are appropriate and which are not but it is best to have a good awareness just in case.

Several types of debts are simply not settleable. These include secured debts, child support, most student loans, alimony, and tax debt (there are companies that settle tax liens out there). Basically things that are secured by collateral (which the creditor can take back) or things secured by a government entity you are not able to settle, at least not with most mainstream debt settlement companies.

When it comes to debts (credit cards especially) which are currently with the original creditor there are some general rules to follow. These rules of thumb are to prevent a creditor crying “foul” and suing for fraud. First accounts should be aged, 6 months or more. Otherwise you are using the creditor’s credit and then stopping payment after using up the cards and this is not ethical. You should have made at least 6 payments to the creditor. Also you should have made at least 3 payments since the last large purchase, cash advance, or balance transfer by the same logic. A debt settlement client does not even want to give the appearance that debt settlement was premeditated fraud rather than a hardship aversion of bankruptcy.

If you have several debts that quality and some that don't it’s not a big deal as the debts can be entered into the program later once the requirements are met. With debt settlement, like any service, you should be aware what you are getting into and be careful to avoid trouble than can result.