has helped people weighed down by heavy debt loads to get a fresh start.
Understandably, some people consider bankruptcy as a last resort, and seek to put it off for as long as possible. While some alternatives to bankruptcy might be beneficial for some people, they often end up not working — and then lead the debtor to file for bankruptcy anyway, albeit in a worse financial position than before.
Some common strategies might include:
- Contacting credit card companies directly. You might try to convince your lenders to allow you to defer your payments or lower your interest rate. However, if you have been missing on-time payments or are at or near your credit limit, your request might fall on deaf ears.
- Working with a debt consolidation firm. You can work with a company that offers to lower your interest rate by making a single payment to the company. Many of these arrangements have fees, though, in addition to interest charges. So you might not save much in the long run, and the amount you owe wouldn’t decrease beyond what you pay toward it.
- Pursuing a short sale or foreclosure on your home. This would free you of your mortgage payments, but you would have a similar impact on your credit score as you would for bankruptcy — and you would have to find a new place to live.
If money management is a problem for you, get in touch with me to review your options regarding debt repayment and/or bankruptcy. Call today at 682-231-0909 or
email the firm on our website.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.
