subject: Why Debt Settlement Is More Advantageous Than Bankruptcy Debt Settlement [print this page] When you are subjected to immense pressure under huge loan amounts, you are bound to take some action to free yourself. Virtually you don't have much open options except that you take up some traditional measures to see yourself clear of debt. Here are the options that you can go for:
a)The first but not much recommended option is to consider filing for bankruptcy. The reason why it is not recommended is that they have a lot of influence on the credit ratings. Once you adopt to file for bankruptcy, you have a bad impact on your credit history. Also you do not get a 100 percent relief on all your existing debts. Apart from that you will qualify for bankruptcy once in 6 years further narrowing your options.
b)The second option sees you through debt settlement process. Here are some advantages you get from debt settlement:
i) Your credit ratings are not affected and you do not face difficulty in availing loans in future.
ii) Your accounts are not seized and there is a transparent process that ensures to overcome all your outstanding commitments.
iii) You have a better chance of regaining control over your distorted economy since there are financial advisors supporting you.
iv) You stand a good chance to get a good waiver on your principal amount. There is a fair chance that more than 50 percent of the debt amount is removed and you are left with other half to pay.
v) On a good negotiation, you might also end up with an extension in the time given to you for repayment of bills.
vi) The interest rates associated with the negotiated amount is affordable and is worthy of giving a try.
vii) Apart from all, the best advantage you get is that you will have a control over your expenses resulting to which you will be able to track your spending well. You will be left out with one account that will give you a better status of your money.
So we see that debt settlement is more advantageous than filing bankruptcy. So take the wise decision and leap forward in stabilizing your financial status.
It would be wise to not go directly to a debt settlement company but rather first visit a debt relief network. The top debt relief networks only allow debt settlement companies into their accredited organizations that prove a track record of successfully negotiating debts and have also been certified. They are free to use and offer helpful debt relief advice.
