Debt settlement seems to have people split. Some believe that their debt settlement company is a God-send, while others believe that they are scams designed to take advantage of them with promises of debt forgiveness. Like anything else in life, there are a few bad eggs that give the entire entity a bad rep. There are certainly debt solutions companies out there that are in it for themselves and are looking to prey on your situation. However, there are plenty of highly professional and effective debt solutions agencies out there. The gist of what they do is simple. Debt settlement primarily consists of:
- The debt settlement institution negotiating with your creditors on your behalf in order to reach an agreeable credit card relief solution
- The debt settlement institution simplifying all your credit card/debt payments into one significantly reduced amount
- The debt settlement institution helping you save and budget responsibly in order to be able to pay the agreed upon amount in a reasonable time
A good debt solutions program will take a modest and reasonable portion in order to continue providing their services to other people in need of debt help. They will not take advantage of you or leave you worse off. Often times, quality debt relief programs help people to avoid bankruptcy, budget more efficiently, and get their life back on track.
If you live in the great state of Texas, an example of a stand-up, Christian debt relief service is Integrity Debt Solutions. Integrity Debt Solutions is proud to offer a guarantee that if we don’t save you at least 40% on your debts, you won’t owe us a penny. Learn more here.
Bankruptcy is a pretty scary word for most people, and for good reason. Bankruptcy can be stressful, scary, an oftentimes overwhelming. Bankruptcy is often the debt solution turned to when those in need of debt help feel like they have nowhere else to turn. People who file bankruptcy can lose their homes, their cars, and much more. There are two main types of bankruptcy:
Chapter 7 Bankruptcy
With Chapter 7 bankruptcy essentially forgives all of your debts with no payment plan in most cases. While this may sound like a get-out-of-debt-fast option, it definitely is not. Filing for bankruptcy severely impacts your credit and stays on your credit record for at least 10 years. Some people also might not qualify for Chapter 7 bankruptcy. In order to qualify you to need to pass the “means test” for your specific state. In the case of Chapter 7 bankruptcy, you are responsible for paying a lawyer fee typically between $1000 to $2000 and a court filing fee upwards of $300.
Chapter 13 Bankruptcy
Chapter 13 bankruptcy is similar to Chapter 7; however, it does not include a settlement of all debts. Some debts may even have to be paid in full or in payments. Unlike Chapter 7, there is no means test to pass in order to qualify. Similar to Chapter 7, you are responsible for paying a lawyer fee typically between $3000 to $4000 and a court filing fee upwards of $300.
If you, like most people, want to avoid filing for bankruptcy, call Integrity Debt Solutions in Texas. We can get you the debt solution you need and help you get your finances back in order.