In the current recession many common consumers face sudden decreasing of income due to lay offs or salary cuts. In these situations some times it becomes difficult for people to even pay their utility bills. In addition to the financial stress they have to deal with the aggressive collection calls urging them toe make the payment. Moreover, the money owed to the utility company starts accruing interest and penalties. This makes the payable amount even more difficult to pay off. But now a consumer can avail relief in the form of debt settlement programs. It is best to obtain some professional advice before attempting to settle the bills.

There are many debt settlement companies which provide professional services to settle bills. The methods employed by these companies are completely legal and do not damage the credit scores of the consumer. Once the consumer has hired a settlement company, he or she does not have to deal with collection calls or with the creditors. The settlement company contacts the utility company and negotiates the payable amount with them. Through negotiations they reduce the payable amount by a large percentage compared to the original amount payable. This amount can be paid as a lump some or in easy monthly installments making the consumer debt free over a reasonable period of time.

The settlement company also arranges for the utility company to re-age the account so that it does not show as delinquent. This prevents damage to the consumer's credit scores. The utility companies do not charge any interest on the amount payable. This makes the amount payable even lesser. The utility companies provide the consumer with a letter of full and final settlement which means that the consumer does not owe them any more money. This also prevents the consumer's credit score from being damaged.