Avoid Bankruptcy – Why Bankruptcy Should Always Be Your Last Debt Relief Option

Aug. 13, 2010 - PRLog -- Recession in the economy is slowly subsiding but people are still taking their time to recover from the financial crisis. Debt management is of critical importance in present scenario because one wrong move can prove to ruin your entire life. If you want to take a right step ahead to get rid of your debt menace, avoid bankruptcy. Bankruptcy might appear to be an easy solution but it is only an illusion.
Even before deciding on bankruptcy, you must know that laws have become very stringent and it follows a thorough procedure for allowing a person to file for bankruptcy under chapter 7. It is essential for you to clear a Means Test which clearly validates your present financial position. In case you fail that, chapter 13 is the only option for you to file bankruptcy and with this, court formulates a debt repayment program giving you a time frame to repay your creditors.
This repayment program is more severe and any defaults might cost your home too. Chapter 7 also deceives you because court will make sure that creditors get back home with some money. Any assets, your home or a car or any other investments shall be used to repay your creditors. You will be left with nothing other than a bad reputation. When you file for bankruptcy, it states negative in your credit record which remains for a span of 8 years. During this time period, survival will be extremely difficult as financial assistance is out of question. Some creditors might be willing to help but it will cost you more.
Government has now formulated better strategies for settling your debts. Debt settlement is a negotiation process facilitated by professional firms which is a similar one like a repayment programme. But debt settlement is proving to be advantageous to debtors and creditors as there is a mutual consent between the parties. Bankruptcy is not an effective solution and it appears as a negative mark for the rest of your life. Make a smart choice now so that in a time span of 3 to 4 years, you will be completely relieved from debt burden.
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(http://www.deletedebttoday.com)

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Bankruptcy is not the only option if you are struggling financially. Debt settlement is the best alternative to filing bankruptcy. Most consumers are able to eliminate 50% of their unsecured debt while avoiding some of the negative consequences of bankruptcy. If you are on the verge of filing bankruptcy it would be wise to at least look into a debt settlement program.

Check out the following link to speak with a debt relief specialist for a free debt relief consultation. It’s completely free and could save you from filing bankruptcy.
Free Debt Advice
(http://www.deletedebttoday.com)
Or Call - 8008940286