A debt settlement company helps individuals manage and reduce their outstanding debts. These companies negotiate with creditors on behalf of their clients to lower the total amount owed. By doing this, they aim to help people become debt-free more quickly and with less financial strain. Clients typically pay a fee for these services, which can be a percentage of the debt settled. When working with a debt settlement company, it's important to understand the potential risks involved. While they can provide relief, settling debts may impact your credit score negatively. Additionally, clients should ensure they choose a reputable company to avoid scams and ensure effective negotiation with their creditors.