subject: 10 Reasons To Choose A Debt Settlement Attorney To Help With Your Debt [print this page] If you are constantly receiving phone calls from creditors, are several months behind in paying your mortgage or credit cards, and are feeling pressured and worried about how to correct your situation, you are not alone. Salary reductions, layoffs and rising prices are affecting the ability to pay off debts. A debt settlement attorney might be able to help. Here are 10 reasons why it is best to go with an attorney.
1. When you are behind on payments, bankruptcy, credit counseling and debt consolidation loans are not your only alternatives. An attorney can negotiate with creditors for an alternative plan of action you can afford. While you might be able to do this for yourself, an attorney has more experience in handling creditors and the outcome is more likely to be favorable.
2. Attorneys who specialize in debt settlement have extensive experience in working with creditors. They know how creditors operate, what deals are available and which options could help you improve your situation.
3. When paying off creditors over time, rather than in a single lump sum, interest and late fees continue to accumulate. These fees can reduce the effectiveness of your payments. An attorney can drastically reduce or eliminate these fees through a successful negotiation on your behalf.
4. If you are in a situation, such as an independent contractor, where you have no wages a creditor can garnish, your bank accounts could be in danger. Even if you dont have enough funds to pay off your debts completely, a debt settlement attorney can arrange a way to modify your existing debt and set up a payment plan.
5. Once you hire an attorney, your creditors will begin dealing directly with him or her. You will not have personal contact with your creditors anymore.
6. Debt settlement companies draw up agreements between you and your creditors, but an attorney will draw up a contract that the creditor signs, making the agreement legally binding.
7. An experienced debt reduction attorney understands mortgage loans, banking regulations and credit card agreements. They are skilled in working within the terms of those agreements to help you find the best path to financial recovery.
8. If you hire a debt settlement lawyer and creditors and or debt collectors continue to call and harass you or become abusive, attorneys will enforce the provisions of the Fair Debt Collection Practices Act to protect your rights.
9. Debt settlement attorneys must be licensed under state and federal laws and regulations that apply to debt settlement companies and adhere to all state bar requirements as well.
10. If you are looking into filing bankruptcy, a more drastic step, you want to know that the process will leave you in a better position than debt settlement negotiation would. Experienced attorneys will be able to look at your personal situation and offer advice as to which path is best for you. A debt settlement company would not be able to do this.
Overall, a debt settlement attorney will be able assist in your overall debt reduction strategy and make certain your rights are protected under any applicable laws.
