subject: Avoid Bankruptcy And Credit Damage - Settle Your Existing Credit Card Debt [print this page] What is the difference between bankruptcy and debt settlement? What is the difference between a sip of poison and a sip of bitter medicine? That is exactly what we're talking about. In case of the former option, you may get relief but that would be something that will make you feel even worse. Bankruptcy can have disastrous effects on your social life. It is not a word. It is a phenomenon that sums up all that can go wrong with your finances.
When you declare bankruptcy, you put your hand up and seek to be excused from the rat race. You admit that you do not have the capacity to take care of your family and your finances simultaneously. Opting for bankruptcy is no different than walking up to each and every lender and begging for relief. The only difference here is that you have the power and might of the state behind you that compels the lenders to offer relief irrespective of whether they want to or not.
Needless to say, bankruptcy will leave a very bad taste in the lender's mouth. That is a reason why lenders retaliate by damaging the credit score and the credit history of the individual beyond repair. Once you opt for bankruptcy, simply forget about your credit score and credit history for the next 7 years. 7 years is a long time. Your 18 year old son will become a 25 year old man by that time. You would have grown from a middle aged individual to a person entering old age. Nobody can anticipate the consequences of such a move over such a long period of time.
That is the reason why you should try to retain control in your hands. Why don't you settle the debt? Why don't you get credit card debt relief in the form of a debt settlement? All you have to do is get in touch with your lenders, either personally or through a debt settlement company, and seek a waiver or a discount. In exchange, you will promise:
- Not to act for bankruptcy.
- Repay the balance amount promptly.
- Take steps to improve your credit score so that the entire process is not repeated again.
Such a move is going to be very beneficial for the lenders because they will retain their customer, retain a strong position over their customers and will not suffer a loss as heavy as they would have suffered if the customer had opted for bankruptcy.
If you are one of the millions of Americans who has over $10,000 in unsecured debt, it is time you found out about the debt settlement options available to you. Due to the current economy an overwhelming amount of people are in debt, creditors are having no choice but to agree to debt settlement deals. To get free debt help click the following link: Free Debt Help
