Speak to an experienced Bankruptcy attorney. Learn about your legal options.
Email this page to a friendConsidering Debt Settlement?..... You may want to think twice.
Debt Settlement is a method whereby unregulated companies attempt to settle debt by contacting your creditors and working out a
reduced lump sum payment. Most debt settlement companies collect their fees upfront and often retain their
fees regardless if they are able to settle your debt. Because of its perceived negative impact on consumers, Debt Settlement
is prohibited in several states.* If you choose to do debt settlement, please make sure you are dealing with a company that is honest,
reputable and proven. Many are not.
Alternatively, bankruptcy might provide you a real, permanent solution at half the cost. See the comparison chart below
| Bankruptcy | Debt Settlement |
| Over 99% Of Chapter 7 Bankruptcy Cases Eliminate Qualified Debts | 75% Of Debt Settlement Plans Fail |
| Bankruptcy May Actually Improve Your Credit | Debt Settlement Negatively Impacts Your Credit |
| Chapter 7 Bankruptcy Process Only Takes 4 Months From Beginning To End | Debt Settlement Plans Last 30-40 Months |
| No Tax Consequences After Bankruptcy | May Have To Pay Income Taxes On Your Forgiven Debt In A Debt Settlement Plan. |
| Bankruptcy Stops Collection Harassment | Debt Settlement Does Not Stops Collection Harassment. |
| Bankruptcy Stops Garnishments, Foreclosure And All Other Collection Activity | Debt Settlement Does Not Stop Garnishments, Foreclosure Or Any Other Collection Activity |
| You Are Represented By Licensed Attorneys Who Must Abide By An Attorney Code Of Ethics | Many Debt Settlement Companies Are Still Largely Unregulated And Unlicensed And Are Not Forced To Adhere To Any Ethical Guidelines |
| Bankruptcy Provides Court Ordered Protection With The Court Forcing Creditor Participation | With Debt Settlement The Creditors Are Not Forced To Participate; As Such They May Elect Not To |
| Bankruptcy Provides Immediate Debt Relief Upon Filing | With Debt Settlement Your First Debt May Not Be Settled For Eight Months to One Year |
| Bankruptcy Attorney Fees Are Generally Less Than One-Third Of Debt settlement Fees | Debt Settlement Fees Are Generally Three Times That Of bankruptcy Attorney Fees |
| Bankruptcy Attorneys Typically Provide A Free In Person Confidential Consultation | With Debt Settlement You Never Actually Meet The Persons Working On Your Case |
To find out if Bankruptcy is better for you,
please fill out our Free Bankruptcy Evaluation
*Debt Settlement is prohibited in the following states:
New Hampshire ,New Jersey , Vermont , Delaware , West Virginia , North Carolina , South Carolina , Georgia , Kentucky , Mississippi , Wisconsin , North Dakota , South Dakota , Kansas , Colorado , Wyoming , Idaho , Hawaii , Minnesota , Iowa , Virginia
