Member Results First.
With Mend, you have two great options to choose from.
Option 1: You can independently utilize the generated settlement offer provided and present it to your creditors at no additional charge.
Option 2: You can have Mend proactively reach out to your creditor and negotiate the debt settlement on your behalf. If you opt for this route, a small “settlement fee” of up to 25% of the enrolled debt will apply. Don’t fret, though—we’re flexible and allow you to spread this fee across payments.
You will receive a monthly email regarding your enrolled debt with Mend. Please communicate your choice of option within 30 days. In the event of no response, we will proceed with option two.
You will not pay us any settlement fees until we reach a settlement. A “settlement” is the settlement, reduction, or other change to the terms of an enrolled debt. We will only charge you a settlement fee on an enrolled debt when a settlement is reached on that debt, and you authorize the settlement.
Partnership Guarantee.
Our objective is to help you pay less than you currently owe on your enrolled debts over the life of your participation in the program. Accordingly, after you graduate from your Mend program or otherwise terminate this membership for any reason, we will evaluate your eligibility for a refund of some or all of the settlement fees you have paid. In particular, if your Mend program settlement costs exceed the enrolled amount of your settled debts, then we will refund the amount of that excess, up to 100% of our settlement fees.
What we do:
We will work in good faith to negotiate, either directly or with the assistance of agents, representatives, or attorneys (each, a “representative”), a settlement of each of the unsecured debts listed on Exhibit A (each, an “enrolled debt”) during the term of your Mend program. As part of your Mend program, we will periodically provide you with access to financial educational materials designed to guide you through your Mend program and to help you better understand borrowing, spending, and savings habits.
Negotiating Your Debt.
If you choose option two – we may negotiate, directly or through a representative, with a variety of different entities to settle your enrolled debts. These entities include the original creditor, the current creditor, or any other entity that may hold a debt, including any of their agents, attorneys, or third-party collectors (each, a “creditor entity”). Placement or sale of a debt to a third party (such as a law firm, collection agency, or debt buyer) does not mean the debt has been forgiven and does not mean that the debt is no longer due. The term “creditor” means any and all creditor entities with which we may negotiate, directly or through our representative, a settlement of an enrolled debt.
Your Part:
In some instances, we may ask you to participate in negotiations with a creditor. Your participation may include you joining our negotiators or representatives in communications with a creditor or, possibly, you communicating with a creditor directly. You are not required to participate in such negotiations. If you choose not to participate, we will discuss alternative strategies for settling that debt. You may request that we continue attempts to resolve the debt without your participation. You may also withdraw that debt from your Mend program at any time before it is settled with no charge to you. If you withdraw a debt, we will continue our efforts to settle the other debts in your Mend program. If we do ask for your participation in negotiations with a creditor, and you agree to participate, we will advise you throughout the process, and you agree to pay our settlement fee if a settlement is reached and you approve that settlement.
Program Updates:
We will keep you reasonably informed of our efforts to settle your enrolled debts. We will respond promptly to your inquiries and communications. At all times, you will have access to your Client Dashboard where you will be able to review, in real time, your Mend program progress, including (i) the status of your enrolled debts and settlements, including active settlement agreements, remaining payments, fees charged, earned and collected on settlements, and negotiation status; (ii) the amount and dates of deposits to your Dedicated Account (defined below) and distributions you have authorized to your creditors, to us, to your banking service provider, and to other third parties, including scheduled deposits and distributions; and (iii) monthly statements from your banking service provider. You may log in to your Client Dashboard at www.gotomend.com or contact a Member Success Representative during normal business hours at the telephone number, mailing address, or email address indicated on the cover page of this Agreement, for information regarding your Mend program, including settlement information.
Estimated Timeline:
The estimated length of reducing and paying off your debt is on average 36 months. The actual length of your program will depend upon (i) your ongoing ability to make your payments to creditors, and (ii) your creditors’ willingness to settle your debts promptly and reasonably. In the event that you obtain additional money, we can in some cases expedite the process for you.
Termination of partnership:
Mend members can cancel/terminate our partnership at any time. However, if there are fees from a successful settlement due, those fees will still need to be paid. Members are not permitted to cancel unlimited times, and Mend holds the ability to decline membership to individuals who abuse the service.
Creditor Settlement Payments:
It is extremely important to make your on-time scheduled payments to the creditors. If these payments are not successfully made, in some cases, the settlement defaults and may not become available again.
Limited Lawsuit Representation.
We cannot prevent a creditor, collector, or debt buyer from suing you or taking other legal action against you. If you are sued on an enrolled debt, we may, in our sole and absolute discretion, engage a Legal Partner Network law firm or attorney (“LPN”) to represent you in connection with that suit. There is no assurance that you will receive such representation. Any such representation will be limited and focused on addressing the lawsuit by settling the debt with the creditor. In order to be eligible for LPN representation, you must complete all scheduled program deposits to your Dedicated Account on time and in full, and you must sign the Lawsuit Representation Agreement attached as Exhibit F. If you receive LPN representation, we will pay the cost of such representation and will not charge you additional fees for such representation; however, you agree to pay any court costs or similar fees, and we will charge our settlement fee. If a settlement is reached in connection with such LPN representation, you approve that settlement, and a payment is made towards that settlement. LPN law firms and attorneys are not Mend employees, and Mend does not own or control any of the law firms or attorneys that are engaged for LPN representation. Mend is not a law firm, and Mend agents and employees are not attorneys and cannot and do not provide legal advice or legal guidance. LPN law firms and attorneys are deemed to be “representatives” for purposes of negotiating your debt as described in Section 2 above. If a debt is removed from your Mend program or this Agreement is terminated for any reason, LPN representation, including our obligation to cover the cost of such representation, will immediately terminate with respect to each affected debt.
Tax Consequences:
If a creditor cancels $600 or more of a debt, the creditor may report to the Internal Revenue Service that you received discharge of indebtedness income. This means that if we settle a debt for less than the amount due on that debt, you may be required to pay taxes on the difference between the amount you owe and the amount you pay under a settlement. You may also be required to pay taxes on the full amount of a debt if the creditor writes off the full amount of the debt, and you pay nothing to the creditor. Since we are not tax professionals and cannot give you tax advice, we recommend that you contact a tax professional to discuss the potential tax consequences of a resolution of a debt for less than the full balance.
Credit Score Implications:
Your credit score is likely to drop substantially during the first few months of your Mend debt relief program. But after that first six months of settling an account, credit scores typically trend higher.
No Guarantee of Settlement:
You understand and acknowledge that we do not provide tax, bankruptcy, accounting, legal, or investment advice, credit counseling, or credit repair services. You further understand and acknowledge that we (i) do not assume your debts and do not make monthly, periodic, or regular payments to any creditor, (ii) make no claim that your Mend program will improve your credit rating or that we will attempt to modify, correct, or remove any reference or entry from your credit report, (iii) cannot promise that we can stop collection phone calls or other creditor communications, (iv) cannot prevent a creditor from initiating legal action against you, (v) assume no responsibility or liability for your failure to comply with the terms of any settlement, and (vi) we do not guarantee that your debts will be settled at all, settled for a specified amount or percentage, or settled within a specified period of time. Our service is not available in all states, and our fees may vary from state to state.
Authorization to Review Consumer Credit Report Information:
At Mend, you are encouraged to input your debt information upon enrolling. In some cases, we may want to pull and review your consumer credit report. You agree that we may receive and review your personal financial and credit information as necessary or appropriate for us to properly evaluate your financial situation. You understand that by signing this Agreement, you are providing written instructions to us under the Fair Credit Reporting Act authorizing us to use information we obtain on an on-going basis from your personal credit report or other information from credit bureaus for the duration of your Mend program. You authorize us to use such information in connection with your Mend program. You may withdraw consent for ongoing credit pulls at any time by contacting us at the telephone number, mailing address, or email address indicated above.
Other Costs and Fees:
Monthly Service Fee: $9.99
Communication Consent:
Mend is committed to protecting and respecting your privacy, and we’ll only use your personal information to administer your account and to provide the products and services you requested from us. In addition, from time to time, we may need to contact you regarding important and time sensitive information.