Recently a new bankruptcy law passed that requires consumers to take a state means test to determine which bankruptcy you qualify for. If it's determined your income is above the state means (average), you would most likely qualify for a chapter 13 bankruptcy. 98% do not qualify for chapter 7.
In a chapter 13 bankruptcy, you would be set up with a trustee of the court, and required to pay back roughly 70-80% of your debt, depending on your situation. And the court will budget your spending and may even tell you to cancel your cable, and reduce your electric bill.
Downsides of Bankruptcy
The disadvantage of personal bankruptcy is that a record of the bankruptcy stays on your credit credit record for up to 10 years, and stays on your public record for life. While it's on your credit record (7-10 years) , it will be more difficult to get loans from lenders. Additionally, even after the bankruptcy is off of your credit record, the fact that it's on your personal record means for the rest of your life, any time you apply for a new job, or for credit, if you are asked if you have ever filed for bankruptcy, you are required by law, to say yes. And doing so, can have a negative effect on your chance for the job and for approval for loan applications
Most people consider Bankruptcy as an absolute last resort for debt relief.
Debt Settlement can help you avoid Bankruptcy
Instead of bankruptcy, debt settlement will:
* Settle unsecured debt at 55 cents on the dollar (thats a 45% savings)
* No upfront fees ever
* Eliminate interest, late fees, and over limit penlties
* Lower monthly payments
* Stop creditor collection calls
* Avoid having a bankruptcy on your record for up to ten years
* By the end of the program your credit score and debt to income ratio will improve
* Accounts will show Settled in Full
Call 954-237-8279 ext 8021 or 877-883-8384 ext 8021 for your free, confidential consultation
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