What National Debt Relief does and does not do

National Debt Relief is a debt settlement company, not a lender or creditor. They do not hold your debt, service your loans, or control your payment schedule. What they do is negotiate with your creditors on your behalf to reduce the total amount you owe, usually in exchange for a lump-sum payment or structured settlement.

Because of this, you cannot skip a payment through National Debt Relief. You skip payments by working directly with your creditor—the bank, credit card company, or loan servicer that actually owns your debt. National Debt Relief may advise you to stop making payments as part of their settlement strategy, but that instruction comes from them as a negotiation tactic, not as a formal payment deferral or skip option.

If you are already working with National Debt Relief and want to pause or skip a payment on an account they are negotiating, you need to understand the difference between what the company recommends and what your creditor will actually allow.

Key Takeaways

  • National Debt Relief cannot skip payments on your behalf because they do not own or service your debt—only your creditor can authorize a payment skip or deferral.
  • The company may recommend stopping payments as a negotiation strategy to pressure creditors into settlement talks, but this is not the same as a formal payment plan or skip option.
  • Stopping payments without your creditor's written agreement will damage your credit score and may trigger collection action or a lawsuit.
  • If you need to skip a payment, contact your creditor directly—not National Debt Relief—and ask about hardship programs, payment deferrals, or forbearance options they offer.
  • Any payment skip or deferral must be documented in writing by your creditor to protect you from late fees, interest penalties, and credit reporting damage.

Why National Debt Relief recommends stopping payments

National Debt Relief's business model depends on creditors believing you are in financial distress. When you stop making payments, your account falls behind, and creditors become more willing to negotiate a settlement because they know collection is becoming less likely. This is the core of their strategy.

However, this recommendation is not the same as a formal payment skip. A real payment skip—one that does not hurt your credit or trigger collection—requires your creditor's written permission. National Debt Relief cannot give you that permission. They can only tell you to stop paying and hope your creditor will call to negotiate.

Many people who follow this advice experience credit damage, collection calls, and lawsuits before any settlement is reached. The company does not shield you from these consequences during the negotiation period, which can last months or years.

What happens to your credit if you stop paying

If you stop making payments without your creditor's written agreement, your account will be reported as late within 30 days. After 90 days of non-payment, most creditors report the account as seriously delinquent. After 180 days, the account may be charged off and sold to a collection agency.

Each of these events damages your credit score. A single late payment can lower your score by 50 to 100 points. A charge-off can lower it by 100 to 150 points. These marks stay on your credit report for seven years from the date of first delinquency, even if you later settle the debt.

National Debt Relief does not remove these marks or prevent them from appearing. They occur automatically when you stop paying, regardless of whether the company is negotiating on your behalf.

How to actually skip or defer a payment with your creditor

To skip a payment without damaging your credit, you must contact your creditor directly and ask about their hardship programs. Most major credit card companies, banks, and loan servicers offer payment deferrals, forbearance, or temporary payment reductions for customers facing financial hardship.

Call the customer service number on your statement or bill and ask to speak with a representative about hardship options. Be specific: tell them you need to skip one payment, defer a payment, or reduce your payment temporarily. Ask what documentation they need—usually proof of income loss, medical bills, or job termination.

If your creditor approves a deferral or skip, they will send you a written agreement. This document is critical. It should state the payment(s) being skipped, the new due date, whether interest will accrue during the skip period, and whether the skipped amount will be added to future payments or forgiven. Do not rely on a verbal agreement or an email from a representative. Insist on a formal letter or document you can keep.

Once you have written approval, the skipped payment will not be reported as late, and your credit will not be damaged.

The risk of relying on National Debt Relief for payment relief

National Debt Relief charges fees for their service—typically 15% to 25% of the amount they settle. These fees are deducted from your settlement or paid separately, depending on your agreement with them. During the time they are negotiating, you are not making payments, and your credit is deteriorating.

If the company fails to reach a settlement, you are left with damaged credit, unpaid debt, and collection action—plus you have paid them fees for a result that did not materialize. Some people find themselves sued by creditors while still enrolled with National Debt Relief.

If you need payment relief, exploring your creditor's own hardship programs first is usually safer and cheaper than hiring a settlement company. Your creditor has no incentive to sue you if you are working with them directly on a formal plan.

When National Debt Relief might make sense

National Debt Relief can be useful if you have multiple unsecured debts (credit cards, personal loans, medical bills) and you have already exhausted your creditor's hardship options. If your creditor has refused to work with you and you cannot afford to pay, settlement may be the only alternative to bankruptcy.

However, even in this scenario, you should understand that the company's strategy will damage your credit temporarily. Settlement typically results in a lower credit score than a formal payment plan would. You should also get a written contract from National Debt Relief that specifies the settlement target, the fees they will charge, and the timeline for resolution.

Do not enroll with National Debt Relief expecting to skip payments without consequences. Enroll only if you understand that your credit will suffer during negotiation and that you may face collection action before a settlement is reached.

Alternatives to National Debt Relief for payment relief

Before contacting National Debt Relief, try these options:

  • Contact your creditor's hardship department directly. Ask about payment deferrals, forbearance, or temporary payment reductions. These are free and do not damage your credit if approved in writing.
  • Work with a nonprofit credit counselor. The National Foundation for Credit Counseling (NFCC) offers free or low-cost debt counseling and can help you negotiate with creditors or set up a debt management plan without the high fees of a settlement company.
  • Explore a debt management plan (DMP). A DMP is a formal agreement where you pay creditors through a counseling agency over three to five years. Your creditors may reduce interest rates or waive fees. This is cheaper than settlement and less damaging to your credit than non-payment.
  • Consider bankruptcy if your debt is overwhelming. Chapter 7 bankruptcy discharges unsecured debt entirely. Chapter 13 creates a repayment plan. Both are formal legal processes that stop collection immediately and may be cheaper than years of settlement negotiations.

Frequently Asked Questions

Can National Debt Relief stop my creditor from calling me?

No. National Debt Relief cannot issue a cease-and-desist order on your behalf. Only you can send a written cease-and-desist letter to your creditor under the Fair Debt Collection Practices Act. If your debt has been sold to a collection agency, you can send the letter to the agency. National Debt Relief may advise you to do this, but they cannot do it for you.

Will my creditor accept a settlement offer from National Debt Relief?

It depends on your creditor and how far behind you are. Creditors are more likely to negotiate when an account is seriously delinquent (usually 90+ days behind). However, some creditors refuse to work with settlement companies and will only negotiate directly with you. There is no may provide National Debt Relief will reach a settlement, even if you stop paying.

What if I am sued while working with National Debt Relief?

National Debt Relief does not defend you in court. If your creditor sues, you must respond to the lawsuit yourself or hire an attorney. A judgment against you can result in wage garnishment or bank account levies. Contact an attorney immediately if you receive a court summons, even if you are enrolled with National Debt Relief.

Can I skip a payment if I am already in a settlement agreement with National Debt Relief?

Your settlement agreement with National Debt Relief typically requires you to make regular deposits into a settlement account or pay the company's fees on schedule. Skipping a payment to National Debt Relief may violate your contract. Contact the company directly to ask about payment deferrals on their fees, or contact your creditor to ask about skipping the underlying debt payment.

Is there a way to skip a payment without damaging my credit?

Yes, but only if your creditor approves it in writing. Call your creditor and ask about hardship programs, payment deferrals, or forbearance. If they approve, you will receive a written agreement stating the terms. Without written approval from your creditor, any skipped payment will be reported as late.