Bankruptcy Alternatives - 3 Debt Relief Options To Avoid Bankruptcy
Bankruptcy Alternatives - 3 Debt Relief Options To Avoid Bankruptcy
Are you really struggling to not declare bankruptcy? Have you just about given up? Are you just about out of your mind with worry? Do you not sleep at night? Well, give up all that tension and get ready to avoid bankruptcy. There are three ways to avoid bankruptcy. They are debt negotiation, debt consolidation and debt consolidation loans.
Under debt negotiation you start by paying a fixed monthly amount to the company which puts your payments into an account where it adds up. The company will negotiate with your creditors on your behalf and you will then stop paying your creditors. Generally you will end up paying between 35% and 70% of the outstanding balance. The money is held in an FDIC insured account for you.
The account is in your name. You can withdraw all your money at any time and stop the plan. Under debt consolidation you consolidate all your bills into one bill. You then pay that one bill. Again your money is held in your name in a bank that is FDIC insured. You can withdraw all your money at any time and stop the plan. In other words, if it ain't working you can stop and go the bankruptcy route, but should you not try this less drastic step first. The third way to avoid bankruptcy is a debt consolidation loan. Under this loan you put up collateral to secure a loan large enough to cover your debt. Such collateral may include real estate. You then make the payment on the loan usually at a lower interest rate. If you fail you can loose your collateral. So take a step to get out of debt today. Which alternative is best for you? Please avoid bankruptcy.
Debt settlement is a legitimate alternative to filing bankruptcy. Consumers can expect to eliminate around 50% of their unsecured debt with the help of a legitimate settlement program. With the new FTC laws recently passed in July 2010, debt settlement is a much less risky option. If they don't settle your balance you don't have to pay a dime.
Check out the following link for free help from a certified debt relief specialist: