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Sarah enrolled $10,000 worth of debt with National Debt Relief. We negotiated with the creditors and reduced the debt by 50%. Sarah's fee for our services was 25% of the enrolled debt ($10,000). How much did Sarah end up saving after reducing her debt and paying us our fee?

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adioabiola

The total amount Sarah end up saving after reducing her debt and paying us our fee is $2,500.

Percentage

  • Amount of debt = $10,000

  • Percentage reduction = 50%

Amount of reduction = 50% × $10,000

= 0.5 × 10,000

= $5,000

Cost of services = 25% of $10,000

= 25/100 × 10,000

= 0.25 × 10,000

= $2,500

Total savings = Amount of debt - Amount of reduction + Cost of services

= 10,000 - 5,000 + 2,500

= $2,500

Therefore, the total amount Sarah end up saving after reducing her debt and paying us our fee is $2,500.

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