JG Wentworth for Debt Settlement: 2026 Review

JG Wentworth is a financial services company that negotiates on behalf of consumers to lower how much debt they owe to their creditors.

In this review, I’m going to cover how JG Wentworth’s debt settlement process works, what pros and cons to consider and how to qualify.

But first I want to be clear: Debt settlement is risky. There’s no guarantee of success, and it can seriously damage your credit.

Debt settlement may be an option for those severely overwhelmed by debt. Before opting into a program, NerdWallet recommends exploring other ways to get out of debt, like enrolling in a debt management plan or applying for a debt consolidation loan.

When you enroll in debt settlement with JG Wentworth, you’ll need to stop making payments on your debts, if you haven’t already.

This is common in debt settlement, and the thinking is that by not paying, your creditors will be more likely to accept a smaller lump sum (known as a settlement offer) since they’re worried you may not pay at all.

Instead of paying your debts, you’ll make a monthly payment into a third-party escrow account. JG Wentworth will help you set up this account and determine your monthly payment amount. This account is FDIC-insured, and you own it completely.

As money accumulates in the account, JG Wentworth begins the negotiation process. Once a creditor agrees to a settlement offer, you’ll pay the creditor from the escrow account. The debt is then considered settled.

It takes 32 months, on average, for customers to complete JG Wentworth’s debt settlement program.

The biggest cost of debt settlement is the settlement fee. JG Wentworth’s debt settlement fee is 18% to 25% of the total enrolled debt and may be based on multiple factors, including your state of residence.

Here’s how the settlement fee works: Let’s say you enroll with $25,000 in credit card debt, and you’re able to settle that debt for $14,000. You might pay a settlement fee of up to $6,250 (25% of $25,000). This is in addition to the $14,000 you pay to your creditors. Altogether you’d pay $20,250.

Other costs to using JG Wentworth include a one-time $9.95 setup fee for the escrow account and a monthly $9.95 fee for maintaining the account.

JG Wentworth may also charge a fee of $17.99 per month for access to legal representation, in the case you’re sued by a creditor. This add-on service is offered at enrollment and 100% optional. Creditors may be more likely to sue if you owe a significant amount and are not responsive to their communications.

It’s important to carefully weigh the pros and cons before deciding whether to work with JG Wentworth.

Free consultation: JG Wentworth offers a free initial phone call so you can learn more about debt settlement before you sign up. It will walk you through the process, as well as propose a plan for settling your debts. This is a no-obligation call, meaning you don’t need to opt into the service afterward if you’re unsure.

Multiple accreditations: JG Wentworth holds multiple accreditations. In addition to its accreditations by the BBB and ACDR, its debt specialists are also accredited by the International Association of Professional Debt Arbitrators (IAPDA). The IAPDA is a nonprofit organization that helps both consumers and debt settlement companies assess debt relief options.

Wide state availability: JG Wentworth’s debt settlement program is available in every state except West Virginia. This is significantly more coverage than many debt settlement companies, which may only offer their debt relief services in 40 states or less.

Lower projected savings: JG Wentworth’s projected savings — 21% of your enrolled debt after fees — is lower than other settlement companies reviewed by NerdWallet, many of which project savings of 25% or higher. The amount you save will likely be influenced by how much debt you enroll in the program and how quickly you can reach a successful settlement.

A risky way to get out of debt: There are risks in working with JG Wentworth, including a major hit to your credit, falling deeper into debt as you await a successful settlement negotiation and even the possibility of being sued by a creditor. Learn more about debt settlement risks lower down.

No guarantee of success: Like all debt settlement companies, JG Wentworth may not be able to settle all your debts even if you follow the program perfectly. This is because not all creditors accept settlement offers.

Costs add up: When working with a debt settlement company like JG Wentworth, you may be charged multiple fees, including a monthly account maintenance fee and a settlement fee of up to 25% of the enrolled debt. These fees are in addition to any charges you may accumulate from your creditors, like late fees or interest. Consider alternative ways to get out of debt (listed below) that may have fewer fees and cost less overall.

JG Wentworth works with consumers who have at least $10,000 in unsecured debt. This may include credit cards, personal loans, collection accounts and some student loans.

It doesn’t settle secured debts, meaning any debt tied to collateral, like an auto loan or mortgage. It also doesn’t settle debts in litigation, tax debts, child support debt or federal student loans.

JG Wentworth says new clients enroll with an average of $27,000 in debt, spread out across seven accounts.

It does conduct a soft credit pull, which won’t hurt your credit score. There’s no hard credit check.

It’s important to understand the overall risks of debt settlement before deciding whether to work with JG Wentworth.

Organizations like the Consumer Financial Protection Bureau and the Federal Trade Commission urge consumers interested in debt settlement to consider these risks:

JG Wentworth and National Debt Relief both offer debt settlement services with similar projected savings. National’s projection is slightly lower at 20% of enrolled debt after fees, compared to JG Wentworth’s 21%.

Both companies charge the same settlement fee of up to 25% of the total debt enrolled.

National may be a better fit if you have a smaller debt load — it accepts debts as small as $7,500 — or if you’re interested in a debt consolidation loan. National Debt Relief partners with Reach Financial to provide these loans, which are typically a safer option than debt settlement, because they don’t require you to withhold payment from your creditors.

National Debt Relief is not available in Connecticut, Oregon, Vermont, West Virginia and Wisconsin.

Though it may seem easier to have a third party, like a debt settlement company, intervene on your behalf, you could have just as much success calling your creditors and negotiating with them yourself — and you can save thousands by not having to pay a settlement fee.

Same as with using a debt settlement company, success isn’t guaranteed, but if you owe only a few creditors, it’s worth a try.

With a debt management plan, you’ll work with a nonprofit credit counseling agency to consolidate your debts into one monthly payment, while also reducing the interest rate.

This is a good option for consumers with credit card debt who have a steady income to repay the debt within three to five years.

Unlike debt settlement, a debt management plan should help build your credit score.

By taking out a debt consolidation loan, you can pay off multiple debts at once, so you’re left with only one payment on your new loan.

A debt consolidation loan should have a lower interest rate than your current debts, which saves money and helps you get out of debt faster.

Bankruptcy lets you resolve your debt under protection from a federal court.

Chapter 7 bankruptcy, the most common form, erases most unsecured debts in four to six months. It’ll also stop calls from collectors and prevent lawsuits against you.

Like with debt settlement, your credit will suffer, so consult a bankruptcy attorney first.