subject: Debt Settlement Attorneys - How New Laws Help Consumers Legally Settle Debt [print this page] Debt Settlement Attorneys - How New Laws Help Consumers Legally Settle Debt
Due to economic recession in the last year, ratio of people using bankruptcy as a rescue tool increased. According to stats, nine out of ten cases of bankruptcy were filed by credit card holders. Credit card companies were suffering from great loses. The Government had to make new laws in order to prevent people from ruining their future and to save credit card companies from economic downfall. Credit card companies get nothing back when their customer goes for bankruptcy. In the new law, bankruptcy is especially discouraged so that people would try other options of debt relief. One of these options is debt settlement.
In this law, bankruptcy is made much more difficult. Its registration fees are increased and its paper work is also increased in order to make the process more complex. There are two types of bankruptcies. One is chapter 7 and another is chapter 13 bankruptcy. Chapter 7 bankruptcy deals with liquefaction of fixed assets. This option is made very difficult. Chapter 13 deals with credit consolidation. In this process, customer has to pay the debts in small installments. So it is made relatively easier. These steps are taken to encourage people for doing proper negotiation. Settlement is good for both parties.
You can hire a professional attorney or a company to get assistance in settlement process. This law has made selection of good companies very easier. No company is allowed to get any money from the customer before doing a settlement deal and providing good results of that deal. You don't have to worry about fraudulent companies. If a company asks about any fees then you should consult another company. The Government has made these new policies because settlement is the only process that can help both parties. That is why these laws are made for mutual benefits. You can check a company's legitimacy by visiting the official website of Better Business Bureau or The Association of Settlement Companies. This is legal process that can eliminate your debts up to 50 % or more. You should try to get settlement deal as soon as possible because more delay means more interest.
Debt settlement is a viable option to filing bankruptcy and is becoming increasingly popular amongst Americans with over $10k in unsecured debt. Creditors are ready to negotiate. You can literally eliminate 50% of your unsecured debt with a settlement. Check out the following link to locate legitimate debt help in your state.
