Bankruptcy Vs Debt Settlement - What to Pick As a Suitable Solution
All solutions for debt relief come with their plus points and limitations.
You are down in debt and are looking for a quick fix solution to your financial problems.
Let me tell you, it took you over 4 to 5 years to build up the credit card debt.
The problem created over a few years can not be solved over a few weeks.
It will require a strong resolve and concerted efforts from your side to seek debt relief.
There are many options available to you to eliminate credit card debt.
You need to select one that is specific to your needs and costs the least.
You also need to do crystal gazing into the future.
After all you are not going to live without credit all your life.
Once you eliminate the present debt, look for a fresh start.
Bankruptcy offers you a fresh start but at what cost? A cost benefit analysis will tell you that you will not get easy credit for 8 to 10 years after bankruptcy.
Will you be happy with this? Going in for a car and your home on easy installments will NOT be possible.
Is there an alternative to bankruptcy? Debt counselors have often recommended debt settlements as a workable and better option to bankruptcy.
It involves talking to your creditors and reaching a settlement regarding your net outstanding amount.
The credit card company has inflated it with late fees and high interest rates.
If they keep on inflating this and you are not able to pay up your account will end up in delinquency.
It means they will be able to recover very less money from you.
However if they reach a settlement they can recover 50 to 60 percent of the net outstanding.
Talking with them to do it is the job of the settlement company.
So as debt relief look for a settlement instead of bankruptcy.
It will not ruin your future.
As compared to bankruptcy it will give you a fresh start without severe damage to your credit.
You are down in debt and are looking for a quick fix solution to your financial problems.
Let me tell you, it took you over 4 to 5 years to build up the credit card debt.
The problem created over a few years can not be solved over a few weeks.
It will require a strong resolve and concerted efforts from your side to seek debt relief.
There are many options available to you to eliminate credit card debt.
You need to select one that is specific to your needs and costs the least.
You also need to do crystal gazing into the future.
After all you are not going to live without credit all your life.
Once you eliminate the present debt, look for a fresh start.
Bankruptcy offers you a fresh start but at what cost? A cost benefit analysis will tell you that you will not get easy credit for 8 to 10 years after bankruptcy.
Will you be happy with this? Going in for a car and your home on easy installments will NOT be possible.
Is there an alternative to bankruptcy? Debt counselors have often recommended debt settlements as a workable and better option to bankruptcy.
It involves talking to your creditors and reaching a settlement regarding your net outstanding amount.
The credit card company has inflated it with late fees and high interest rates.
If they keep on inflating this and you are not able to pay up your account will end up in delinquency.
It means they will be able to recover very less money from you.
However if they reach a settlement they can recover 50 to 60 percent of the net outstanding.
Talking with them to do it is the job of the settlement company.
So as debt relief look for a settlement instead of bankruptcy.
It will not ruin your future.
As compared to bankruptcy it will give you a fresh start without severe damage to your credit.