National Debt Relief is one of the largest debt settlement companies in the United States. But is it legit? Is it the right fit for your situation? This review covers how they work, what they charge, who qualifies, and what real customers say.
Disclosure: Debt settlement can negatively affect your credit score and may have tax consequences. Results vary. Consult a financial advisor before making decisions.
Get a free savings estimate from National Debt Relief — no commitment required.
National Debt Relief: Quick Summary
| Feature | Details |
|---|---|
| Founded | 2009 |
| Headquartered | New York, NY |
| Minimum debt | $7,500 |
| Fees | 15%–25% of enrolled debt per settled account |
| Program length | 24–48 months (typical) |
| Types of debt handled | Credit cards, personal loans, medical bills, private student loans, business debt |
| States served | Most U.S. states (not available in all states) |
| BBB rating | A+ (as of 2026) |
| AFCC accredited | Yes |
| Upfront fees | None |
How National Debt Relief Works
National Debt Relief is a debt settlement company. They negotiate with your unsecured creditors to accept less than the full balance owed. Here’s how the process works step by step:
Step 1: Free consultation
You call or fill out a form online. A counselor reviews your debts, income, and financial situation. They provide an estimate of how much you might save and what the program would look like. There’s no cost and no obligation at this stage.
Step 2: Enrollment
If you decide to move forward, you enroll your eligible unsecured debts into the program. National Debt Relief works on credit cards, personal loans, medical bills, some private student loans, and business debts.
Step 3: Dedicated savings account
You open a dedicated savings account (typically with a third-party bank) and make monthly deposits instead of paying creditors. This is the account from which settlements will eventually be funded. You own and control the account.
Step 4: Negotiations
As funds accumulate, National Debt Relief’s negotiators contact your creditors and work toward settlement agreements. They typically wait until enough funds are available to make a meaningful offer.
Step 5: Settlement and fees
When a creditor agrees to a settlement, you approve the terms. You pay the settled amount from your dedicated account. National Debt Relief collects their fee — 15% to 25% of the enrolled debt amount for that account — only after a settlement is reached and you’ve approved it.
Step 6: Program completion
Once all enrolled debts are settled, the program ends. You walk away with reduced debt, though your credit will have taken hits during the process.
What Debts Does National Debt Relief Handle?
National Debt Relief works primarily on unsecured debt. That means:
- Credit card debt
- Personal loans
- Medical bills
- Some private student loans
- Business debt (in some cases)
- Collections accounts
They generally do not handle:
- Mortgages
- Auto loans
- Federal student loans
- IRS tax debt
- Child support or alimony
- Utility bills
Fees: What Does National Debt Relief Cost?
National Debt Relief charges 15% to 25% of the enrolled debt amount per account settled. The exact percentage varies by state and the specifics of your case — they’ll tell you the exact fee during your consultation.
There are no upfront fees. Per FTC rules, settlement companies that use outbound telemarketing can’t charge before settling a debt. National Debt Relief follows this rule.
Example: If you enroll $20,000 in debt and National Debt Relief settles it for $10,000 (50%), their fee at 20% of enrolled debt would be $4,000. Your total out-of-pocket would be $14,000 — saving $6,000 compared to paying the full balance. Actual results vary.
How Long Does the Program Take?
According to National Debt Relief, the typical program runs 24 to 48 months. The timeline depends on how much debt you’ve enrolled, how quickly funds accumulate in your dedicated account, and how quickly creditors negotiate.
Larger debt balances generally take longer. People who can make higher monthly deposits tend to move through the program faster.
Who Qualifies?
To work with National Debt Relief, you generally need:
- At least $7,500 in unsecured debt
- To be experiencing real financial hardship (job loss, reduced income, medical emergency, etc.)
- To be a resident of a state where they operate (most states)
National Debt Relief is not designed for people who are current on all payments and simply want a discount. Creditors generally won’t settle with someone who’s still paying. You need to have — or be approaching — a genuine inability to pay.
Credit Score Impact
Enrolling in a debt settlement program will hurt your credit score. You’ll stop making payments to creditors, which triggers missed payment marks on your credit report. Accounts may be charged off during the program. Settled accounts appear as “settled for less than full amount.”
These marks stay on your credit report for 7 years from the date of first delinquency. Credit can recover — many people see meaningful improvement within 2 to 4 years of completing the program — but the short-term damage is real.
For a full breakdown, see our guide on how debt settlement affects your credit score.
Tax Consequences
When a creditor forgives $600 or more, they report it on IRS Form 1099-C and the forgiven amount is generally considered taxable income. You could owe taxes on money you never received.
An insolvency exception may apply: if your debts exceeded your assets at the time of settlement, you may exclude some or all of the forgiven amount from income using IRS Form 982. A tax professional can advise you on your specific situation.
Is National Debt Relief Legitimate?
Yes. National Debt Relief is a legitimate, accredited debt settlement company. Key credibility signals:
- AFCC (American Fair Credit Council) accredited: The AFCC is the primary trade association for debt settlement companies and has ethical standards members must follow.
- IAPDA certified: Counselors are trained and certified by the International Association of Professional Debt Arbitrators.
- A+ rating with the Better Business Bureau: They have held an A+ rating and BBB accreditation.
- No upfront fees: They comply with FTC rules prohibiting advance fees.
- Consumer Financial Protection Bureau (CFPB) oversight: As a financial services company, they operate under CFPB regulations.
National Debt Relief Reviews: What Customers Say
National Debt Relief has tens of thousands of customer reviews across platforms including Trustpilot, Google, and the BBB. Overall sentiment is generally positive among people who completed the program.
Common positive themes in reviews:
- Responsive customer service
- Transparent process
- Significant debt reduction achieved
- Clear explanation of fees and timeline upfront
Common criticisms:
- Credit score damage (expected with any settlement program)
- Length of the program
- Some creditors not willing to settle
- Occasional communication gaps during long programs
It’s worth noting that reviews for any large debt settlement company will include complaints — debt settlement is an inherently stressful process. The key question is whether the company is honest about the process upfront and delivers on its commitments.
National Debt Relief vs. Freedom Debt Relief vs. Curadebt
| Feature | National Debt Relief | Freedom Debt Relief | Curadebt |
|---|---|---|---|
| Minimum debt | $7,500 | $7,500 | $5,000 |
| Fees | 15%–25% of enrolled debt | 15%–25% of enrolled debt | Varies |
| Tax debt handled? | No | No | Yes |
| BBB rating | A+ | A+ | A+ |
| Founded | 2009 | 2002 | 2000 |
If you also have IRS tax debt, Curadebt is worth considering since they handle both consumer debt and tax debt resolution.
For a detailed comparison with bankruptcy, see our guide on Debt Settlement vs Chapter 7 vs Chapter 13.
Who Should Use National Debt Relief?
National Debt Relief is a good fit if:
- You have $7,500 or more in unsecured debt
- You’re experiencing genuine financial hardship
- You want to avoid bankruptcy
- You can commit to 24–48 months in the program
- You’re not planning major credit applications in the near term
It’s not a great fit if:
- You’re current on all payments and not facing hardship
- Most of your debt is student loans, taxes, or secured debt
- You’d qualify for Chapter 7, which is faster and avoids a tax bill on forgiven amounts
- You need to preserve your credit score for an upcoming mortgage or major loan
Bottom Line
National Debt Relief is a legitimate, well-reviewed option for people with significant unsecured debt who are genuinely struggling to make payments. They’re transparent about fees, follow FTC rules, and have a track record of settling debts for less than the full balance.
The tradeoffs — credit score damage, potential tax bill, program length — are real. But for the right person, the potential savings and the path to becoming debt-free make National Debt Relief worth serious consideration.
Start with the free consultation. It costs nothing, and you’ll come away with a clear picture of what settlement would look like for your specific debts.
Get a free savings estimate from National Debt Relief — no obligation, no upfront cost.