...a Chapter 7 bankruptcy filing makes the most financial sense...But, it should not be looked to as one of the first choices. Consumers should first exhaust alternative methods, such as negotiation & settlement...
Past News ReleasesRSS
New York, NY (PRWEB) October 05, 2012
For the first half of 2012, statistics show that bankruptcy filings in the US dropped by 14%. However, despite this considerable improvement in the nation’s economy, a lot of citizens are still plagued by mounting financial obligations that they do not know how to alleviate. With a lot of people, municipalities and high-profile businesses filing for bankruptcy as a last resort, many are wondering if their own understanding of this financial strategy is correct. In recent articles published on its website, leading debt management and credit counseling information and referral source Debt Consolidation USA reveals what bankruptcy is and what it’s not, as well as provides effective alternatives to it for those who can’t bring themselves to file for bankruptcy to be able to get back on their feet.
Bankruptcy as defined by DebtConsolidationUSA.com in its article, Bankruptcy vs. Debt Settlement is “a legal procedure that is designed to give you a program to pay your debt to as many of your creditors as possible. It is something that stays on your credit profile for up to 10 years and can prevent you from qualifying for certain kinds of jobs or getting approval for a mortgage.” This definition effectively debunks the myth that filing for bankruptcy will instantly rid a person of all his or her financial obligations.
According to the article, another false belief about filing for bankruptcy is that the person who does so will instantly lose most of his or her possessions. In the same article, DebtConsolidationUSA.com explains, “The truth is that some of your possessions are liquidated, but each state allows for certain items to be exempt from the proceedings. You will need to talk to a bankruptcy attorney to find out what is exempt.”
The good news, however, is that there are many options a person in debt can take aside from bankruptcy, and the Debt Consolidation USA website enumerates all the other available debt solutions.
“For some consumers, a Chapter 7 bankruptcy filing makes the most financial sense – consumers can discharge their unsecured debts in a few months at an average cost of $2000 – depending on your state. But, it should not be looked to as one of the first choices. Consumers should first exhaust alternative methods, such as negotiation and settlement, before consulting with a bankruptcy attorney.”
From tips and valuable advice on how to reduce credit card debts, to online consumer debt counseling, to debt and divorce advice, and many more, Debt Consolidation USA is an ever reliable source of help for all kinds of financial issues. For those who are not sure on which option to take, they may compare debt solutions from Debt Consolidation USA (such as debt settlement, debt consolidation loans, bankruptcy, credit counseling and debt management plans) with some of the team’s seasoned experts and draw up a unique yet effective debt management plan.
To learn more about the different debt relief solutions, visit DebtConsolidationUSA.com.