Bankruptcy vs. Credit Counseling: What Should I Do?

Written by Tim Gorman


Continued from page 1
It will completely clear your debt in most cases and you will no longer be hassled by collection agencies and their attorneys. There are two kinds of bankruptcy;repparttar one that is right for you will depend on your situation. When filing Chapter 13 bankruptcy you are able to keep property that is mortgaged such as your house or car and are expected to repay debts in three to five years. Under Chapter 7 bankruptcy, you must give up all property and assets that you own. There are exceptions in some states for items such as work tools and household furnishings. Bankruptcy will certainly clear your debts and stop foreclosures and wage garnishments, however, you will be unable to establish credit for up to ten years. Filing bankruptcy can also be very expensive compared to credit counseling.

Take time and research credit counseling very carefully before deciding on bankruptcy as it can save your credit inrepparttar 146409 long run. Most people feel much better about themselves when they can pay off their debt and become educated about how to stay out of debt rather than filing bankruptcy.

Timothy Gorman is a successful webmaster and publisher of Debt-Relief-Solutions.com. He provides more debt relief, consolidation and free debt consolidation information that you can research in your pajamas on his website.


How Do You Spell Debt Relief?

Written by Tim Gorman


Continued from page 1

A fourth option for debt relief is through credit counseling services. This is similar to debt consolidation in that you pay only one bill torepparttar counseling service. They in turn take over all your debt payments. The benefit of this is that any communication withrepparttar 146408 creditors is handled byrepparttar 146409 counseling service. The downside is that credit counseling services work primarily forrepparttar 146410 credit card companies. While they may work for a reduction of interest, they probably won't work for a reduction of principle.

No matter which option you choose for debt relief, all are better than doing nothing and falling further and further behind. Check out all your options before making a decision.

Timothy Gorman is a successful webmaster and publisher of Debt-Relief-Solutions.com. He provides more debt relief, consolidation and free debt consolidation information that you can research in your pajamas on his website.


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