If you’re drowning in credit card debt, Citizens Debt Relief promises to negotiate settlements for 40-60% less than what you owe. But after reviewing complaints and customer experiences, here’s what you need to know before signing up.
The Problem with Mounting Debt
Credit card balances, medical bills, and personal loans can quickly spiral out of control. Many Americans face this reality: minimum payments barely touch the principal, interest keeps accumulating, and collectors start calling. Debt relief companies like Citizens Debt Relief claim they can help but do they deliver?
How Citizens Debt Relief Works
The process is straightforward:
- Free consultation – You’ll discuss your debt situation (minimum $5,000 required)
- Monthly deposits – You stop paying creditors and instead deposit money into an FDIC-insured account
- Negotiation – Citizens contacts your creditors to negotiate settlements
- Settlement – Once enough money accumulates, they pay off negotiated balances
The typical program runs 2-4 years, and you’ll receive updates throughout the process.
What It Costs
Citizens Debt Relief doesn’t publish specific fees upfront. According to industry standards, debt relief companies typically charge 15-25% of your enrolled debt as a service fee. The company claims clients achieve 40-60% debt reduction on average.
Example: If you enroll with $20,000 in debt:
- Potential settlement: $8,000-$12,000 (40-60% reduction)
- Estimated fees: $3,000-$5,000
- Total paid: $11,000-$17,000 vs. original $20,000
The Good News
What works:
- Low $5,000 minimum debt requirement (many competitors require $10,000+)
- Free initial consultation with no upfront fees
- Many customers praise staff professionalism and communication
- Member of the American Fair Credit Council
The Red Flags
Serious concerns from actual customers:
88 complaints filed with BBB in the last 3 years, including:
- Payments not made to creditors: Multiple clients report making payments for months while Citizens failed to contact creditors or make settlements
- Lawsuits and garnishments: Some customers were sued by creditors and faced wage garnishment despite being enrolled
- Refund delays: Clients waiting months for promised refunds after canceling
- Communication problems: Difficulty reaching representatives, unreturned calls and emails
Customer support is only available Monday-Friday, 10 AM-6 PM, limiting access when problems arise.
Credit Score Impact
Be warned: Your credit score will likely drop once you stop paying creditors. Accounts become delinquent, late payments get reported, and your score can fall 100+ points. This damage takes years to repair.
Better Alternatives to Consider
| Company | Minimum Debt | BBB Rating | Key Benefit |
| National Debt Relief | $7,500 | A+ | Industry leader, better track record |
| Accredited Debt Relief | $10,000 | A+ | Strong BBB rating, transparent fees |
| Freedom Debt Relief | $7,500 | A+ | Largest debt relief company |
| Citizens Debt Relief | $5,000 | Not Accredited | Lower minimum, mixed reviews |
Who Should Avoid This Company
Skip Citizens Debt Relief if you:
- Need reliable customer service access
- Have debts already in legal status
- Want credit counseling services (they don’t offer this)
- Need transparent fee structures upfront
Frequently Asked Questions
How long does debt relief take?
Most programs run 2-4 years, depending on your debt amount and monthly payment capacity.
Is Citizens Debt Relief BBB accredited?
No, Citizens Debt Relief is not BBB accredited, though it holds around a 4/5 rating.
What types of debt can they settle?
Credit cards, personal loans, medical bills, lines of credit, collections, and repossessions. They cannot help with secured debts like mortgages or auto loans.
Will I get sued by creditors?
Possibly. Several customers reported being sued despite enrollment, with some facing wage garnishment.
Can I get my money back if I cancel?
Customers report significant delays getting refunds, sometimes waiting months despite promises of 15-21 day processing.
Are there better options?
Yes. Companies with A+ BBB ratings, like National Debt Relief or Accredited Debt Relief, have stronger track records and fewer complaints.
The Bottom Line
Citizens Debt Relief may work for some people, but the volume of complaints about failed settlements, communication issues, and refund problems raises serious concerns. With only five years in business and no BBB accreditation, they lack the proven track record of competitors.
Our recommendation: Compare at least 3-4 debt relief companies before deciding. Look for established companies with A+ BBB ratings, transparent fees, and strong customer service.
Ready to explore your options? Get free consultations from top-rated debt relief companies and compare their offers. Your financial freedom starts with making an informed choice.
Note: Debt relief will impact your credit score and may have tax implications. Consult with a financial advisor or credit counselor to understand all options, including debt management plans, balance transfer credit cards, or bankruptcy alternatives.
In another related article, Trump’s Income Tax Revolution: A Comprehensive Analysis of the $150,000 Tax Elimination Proposal
