Debt settlement typically involves the following steps: a. You stop making payments to your creditors and instead save money in a separate account. b. Once you've saved a sufficient amount, a settlement offer is made to your creditors, usually for a percentage of the total debt. c. If your creditors agree to the settlement offer, you pay the agreed-upon amount, and the debt is considered settled. d. The process continues until all your enrolled debts are settled.

No, debt settlement and debt consolidation are different approaches to managing debt. Debt settlement involves negotiating with creditors to reduce the amount owed, while debt consolidation involves combining multiple debts into a single loan or payment plan, often with a lower interest rate.

Yes, debt settlement can negatively impact your credit score. When you stop making payments to your creditors, it can lead to late payments and defaults, which will be reflected on your credit report. However, once you've settled your debts, you can begin rebuilding your credit over time.

Yes, there are risks involved in debt settlement, including: a. Negative impact on your credit score. b. Potential legal action from creditors. c. Accumulation of additional interest and fees during the settlement process. d. The possibility of not all creditors agreeing to a settlement.

Not all types of debts are eligible for settlement. Unsecured debts like credit cards, personal loans, and medical bills are commonly eligible. Secured debts like mortgages and car loans usually cannot be settled through a debt settlement program.