Debt Reduction Versus Bankruptcy


Bankruptcy is not the only answer for a crushing load of consumer debt. Instead, consider completely paying off your debt at your terms and in a time frame that you choose by settling the debt for as low as 50 cents on the dollar.

Recent changes in the bankruptcy law have made it harder to obtain a bankruptcy -requiring extensive credit counseling -twice! -before a discharge can be granted. Filing fees have dramatically increased as well. And when you have your discharge, the trailing problems associated with the bankruptcy filing follow you for ten years as a public record in your credit report. Until that bankruptcy is removed, creditors can see it and take it into account in their decision about extending you credit-and they will see it for the next ten years--by law.

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Debt settlement is an attractive option instead of bankruptcy. Plans are now offered that allow you to choose debt settlement at a percentage you choose -up to 50% reduction in obligations-and allow you to choose a time frame from 18 to 48 months to pay off all your outstanding credit card debt and other obligations that are dischargeable in bankruptcy. A payment program of longer duration reduces the monthly payments you make since you will pay for a longer period of time.

Guarantees are offered by debt reduction plans that utilize attorneys as the agents for negotiation, ensuring that your debt reduction program will succeed in reducing your debts by up to 50%. You get to choose the time frame for your debt reduction plan according to your ability to settle quickly or your desire to enjoy a longer time period to conserve your cash with lower monthly payments.

The better plans require no initial processing fees since the fees for the program are included as a percentage of the scheduled payment under the debt settlement plan. They only require you to complete an application listing your debt and ask you to decide how much debt to pay off and how long you choose to complete the plan.

Bankruptcy is no longer the only option for paying off your debts; a well-thought-out debt settlement plan can achieve the same results-complete debt reduction- in a time frame you choose with guaranteed results.


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