Any serious advice would be appreciated??

Question

Should I work with a debt councillor or should I file for bankruptsy??? Which is more beneficial??
Big time debt, credit cards at max and creditors hounding us and we never have time to do the bills on time and can barely pay the min. We fell way back and now we have to do something desperate. How can I survive??

Answer 1

Under current Federal law, in order to file bankruptcy you will have to go through credit counselling first. Talk to any bankruptcy attorney; they'll spell it all out for you.

Answer 2

Have you tried to work with the creditors themselves? Let them know your situation, try to work something out. Bankruptcy stays with you 7 years. I would either work with your creditors or check with a credit counseling agency.
A trick that works for me is every payday, I pay my credit card. Not the minimum they ask for, the minimum plus the finance charge. This way, you are paying more of your debt off, and if something does happen and you can not make a payment, you should be a little ahead. Also, if the statement has a balance, but the minimum payment due is $0.00, pay what the finance charge would be, but make a payment even if the statement says $0 due.

Does your bank have automatic bill pay? I would look into that also. But work with your creditors, get a minimum payment you can afford and they will accept, make your payments on time. A show of good faith toward your creditors will get you back on track.

Bankruptcy should be a very last resort.

Answer 3

If you can get a lower payment through credit counseling, then it may help you get your credit and budget back on track. They can usually get much lower interest rates also. What is really beneficial is that many creditors will re-age your accounts (return to current status) when you sign up for a debt management plan. This can reduce your payments and eliminate late fees.

You may wish to contact a local credit counseling agency. Make sure they have a satisfactory rating with the Better Business Bureau.

Answer 4

Bankruptsy i would say,, as soon as i filed and it went thru i was offered credit again which i didnt take,,, kill the credit cards for life,, if ur smart,,, or u can consoldate everything and pay it off for the rest of your life lol,,, 10 years its off your record and your back on your feet as long as your dont screw up again an make bad credit for yourself,,, if your 100.000 in debt or more then i suggest it,, if not pay it...

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Answer 5

Debt councilor. If there is no solution except bankruptcy, then they can tell you. They might be able to help you consolidate the bills and set up a payment plan. If not, then you've done your best.

Answer 6

debt consolidator. Bankrupsy laws are tougher now and besides bankrupsy is not a means to make problems go away. You need someone to help you manage your money and bills. Bankrupsy will not help solve that problem, if anything you would find yourself asking the same question a few months after bankrupsy. Call up CCC.

Answer 7

Try a debt counselor first, if that does not look promising, them file for bankruptcy. Good luck, I can sympathize with you.

Answer 8

DO NOT file bankruptcy. Even if you choose not to pay anyone, and even if you forget about the debt counselor, DO NOT FILE. It will only make your problems worse.

Answer 9

Go to a debt counsellor, they will find a way to consolidate your debt so that your monthly payment will be easier to handle.

Answer 10

Write your creditors explaining your situtation they might have a solution. Or credit counciling.