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Pros / Freedom Debt Relief can help you cut payday loan and other debt by as much as 50 percent.

Cons / The fee is based on enrolled debt, not settled debt, meaning you could pay a fee for debts that are not reduced.

 Verdict / Freedom Debt Relief is an accredited debt settlement company that can handle payday loan debt consolidation and reduction.

TopTenREVIEWS - Silver Award - Awarded for excellence in design, usability and feature set
TopTenREVIEWS - Excellence Award - Awarded for excellence in design, usability and feature set

If you’ve gotten into a financial tangle with multiple payday loans, then payday loan consolidation could be a good way to work yourself out of that debt. However, if your debt from payday, credit card and other loans is overwhelming, then debt settlement that includes payday loan debt consolidation could be an option. It should be a last resort because of the fees and damage to your credit record. When all else fails, debt settlement companies like Freedom Debt Relief offer services to cut your debt, negotiate for manageable payments and help you pay off what you owe so you can start fresh.

Freedom Debt Relief has been in business since 2002 having helped consumers with $3 billion in debt of various kinds. It doesn’t charge monthly fees but rather a service fee that’s on the low end of average. Its solid history of helping others reduce debt earns Freedom Debt Relief our Top Ten Reviews Silver Award for payday loan consolidation.

Cost & Fees

When you’re trying to cut your debt, the last thing you want to pay is high fees. Freedom Debt Relief charges between 18 and 25 percent, which is among the lowest among the debt consolidation services on our lineup. The exact percentage you pay depends on your particular situation and on the total amount of your enrolled debt. For example, if you have $10,000 in debt, the average fees would be around $2,000.

You do not pay any fees until after a settlement has been reached on one or more of your debts. On average Freedom Debt Relief can negotiate a 50 percent reduction in your debt before fees. When you add the fees in, you end up with a 25 to 35 percent reduction on your total debt. For example, if your arbitrator can reduce your $10,000 debt by 50 percent, you owe your creditor $5,000 and $2,000 to Freedom Debt Relief. That’s a $3,000, or 30 percent, reduction of your total debt. However, the fee it charges is based on the enrolled debt, not how much it settles. This could be an issue if your payday loan creditors refuse to negotiate.

Eligibility & Application

While you can use this service to consolidate your payday loans in a debt reduction program, you must meet a minimum amount of unmanageable debt. To qualify, you must have at least $7,500 in debts, such as credit cards, unsecured loans and lines of credit, medical bills and collections, or repossessions. The debts can include business debt as well as personal debt. Even if you qualify for the program, keep in mind that your creditors are under no obligation to negotiate with Freedom Debt Relief. Your creditors may continue to contact you as well.

Customer Experience

Most debt relief programs with Freedom Debt Relief run 24 and 48 months, depending on how much you owe and how much you can set aside. As part of the program, you must put a minimum amount into trust with Freedom Debt Relief. This trust FDIC insured. When your arbitrator settles debts with your creditor, he or she uses the funds in that account to pay off the settled amount and Freedom Debt Relief's fees.

You can fill out an online form to receive a free quote and to see whether you qualify for payday loan debt consolidation and settlement with this company. The website also provides straightforward information about the risks of debt settlement, including the negative impact on your credit and that. It also clearly explains the terms and costs of the program. This is all information that the company must legally disclose.

The website has a FAQs page and self-help resources, such as a debt relief guide that outlines payment schedules for different options. This company also offers basic customer support by phone and email. We found the phone support personnel helpful and knowledgeable. However, the company was slow to respond to email requests for information.

Company Accreditations

This debt relief company is both IAPDA and AFCC accredited. The IAPDA – International Association of Professional Debt Arbitrators – trains and certifies professionals in debt settlement and advocates high standards and ethics. The AFCC – American Fair Credit Council – is not a government entity, but works to ensure its members comply with all regulations laid out by the Federal Trade Commission.


Freedom Debt Relief is one of the best companies for debt settlement that can include payday loan consolidation. It can generally help you cut your debt by 30 percent after fees. Its fees are low to average. With a long-standing reputation and accreditations for payday loan and debt relief, Freedom Debt Relief is one of the best debt settlement companies.

Freedom Debt Relief Visit Site