Many consumers choose bankruptcy as their solution for debt relief. However, bankruptcy might not be the right choice for your unique situation. You may be able to take advantage of non-bankruptcy debt relief. Talking to an experienced attorney is the best way to find out which option is best for you. The following are some of the non-bankruptcy methods that an attorney may discuss with you:
Debt Settlement
A debt settlement is a situation where a creditor agrees to let a debtor pay off a debt for less than the amount that he or she truly owes for it. For example, a creditor may take $150 for a $300 debt. Usually, a great deal of negotiating is necessary before the credit accepts that amount unless it has been many years, and the creditor just wants to get something for the debt. The attorney may advise you to try this method, and he or she may offer to negotiate for you, as well. It’s a good idea if you have the money to repay some of your debts, but you don’t have the full amount. It’s important to note that you’ll have to keep up with your credit report and make sure that the creditors reported your payments.
Debt Consolidation
A debt consolidation is a process that merges all of your open accounts into one easy-to-manage account. A consolidation loan is usually the product that people choose when they have issues with their organizational skills and want to make the repayment process a little bit easier. You may select this process if you are the type who misses payments because you can’t remember the various pay dates.
Debt Management
Debt management programs are an additional alternative to bankruptcy. They are similar to debt consolidation processes except they do not involve loans. Instead, the debtor works with a counselor or attorney who negotiates with the creditors to get some of the balances reduced. Once the creditor reduces the balances as much as possible, the counselor or attorney creates a monthly repayment plan with the debtor. A debt management plan seeks to have the debtor’s monies paid off within six years.
Debt Dispute
A debt dispute is a declaration that a debt is not yours. An attorney can help you to initiate the dispute process. Credit bureaus must conduct an investigation, and they also most remove any debts that they cannot validate. It may be worth it to discuss that with an attorney.
Voluntary Arrangements
Voluntary arrangements are promises to pay back debt a specific way. an attorney can help to draw up such a document, and then you can make it a legally binding agreement if you so desire.
We provide a slew of non-bankruptcy debt relief services to people in the Louisiana area. You can schedule an appointment with us so that we can consult with you about your unique situation and the options that are available to you. There is a way for you to recover from your financial situation. We will help you.Connect with us today, so that we can start working to get you out of debt.