The decision of filing for bankruptcy can indeed by very difficult. The enormous research, recommendation and meeting of attorneys can itself be quite frightening. Not to mention the plight once you actually file for it. To avoid all the hassles, lets check some alternatives that we can consider.
Alternatives to filing for bankruptcy
- Self Evaluation – Let us consider the first option as avoiding bankruptcy on our own. For this, you must make a realistic budget of your current monthly expenditures. You must also include all your mortgage and car payment but exclude all other debts.
Now, with the surplus amount, do you think you will be able to pay off the dues other than the mortgage and car loan within 3 years at the current rate of interest? is it possible to reduce your expenses, increase your income and pay off the loans?
- Outside Help (Consumer Credit Counselors) – if the above option is ruled out, you can get in touch with established non profit organizations like the consumer credit counseling. With their help, you can create a budget and also negotiate a repayment plan which may either include a reduced or zero interest rate on your current debt. This is a good option if your debt is primarily credit card debts.
- Debt Settlement – though generally a scam, there are many debt settlement agencies who help you to negotiate deals with the creditors and you only have to pay them money monthly or a lumpsum amount as agreed upon.
- Filing for Bankruptcy – this must be the last option that you must seek when it comes to getting a discharge from your debts. However, if you decide to file for bankruptcy, it is always advisable to get in touch with an attorney who can guide you of all the pros and cons, since one you file for bankruptcy there is no looking back.
To get in touch with a renowned bankruptcy firm, log on to – https://recoverylawgroup.com/bankruptcy/ or call on 888-297-6203 to book an appointment.