When the creditors to negotiate with the debtor over the debts, they offer settlement. This settlement is done between the two parties i.e. the creditors and the debtor. If you want to avoid bankruptcy and debts, then this negotiation is the right option for you. The debtor and the creditor both agree on the amount of money that has to be eliminated and also about the interest rate which has to be paid on the balance. The creditors are open to settlement deals because they would like to have some part of their money back instead of nothing at all. This is because they are not able to claim their whole due amount. So with the help of bankruptcy attorneys, they can reduce the total amount by bargaining for it with the debtors. In order to find the best bankruptcy attorneys, you need to research a bit. You can start by looking up the local directory. A lot of law firms are there in your state, which can be considered when you are looking for one. Find top Bankruptcy and Debt counselling services or find the right bankruptcy attorney. You need to look into the details of the bankruptcy code so that you can know how the process works. The creditor has to provide a written proof that he has lost his chance to get back half of the money that was owed to him. There are various ways in which you can help your debtor while going for settlement. If the debtor files for bankruptcy, then the process will be quite slow. However, if the debtor uses a professional debt relief firm, then the process can be fast. First of all, the creditors get a chance to show the court that they can accept a percentage of the total money rather than none. Thus, they start negotiations. Personal credit card debt forgiveness is also possible through personal credit debt relief firms. In this case, the creditors can bargain for a reduced amount of credit card debt. For most debtors, this is the best option. However, bankruptcy law may not allow the debtors to use this option. This is because the new federal bankruptcy law has set a limit of how much can be waived. If the debtors simply don't pay what is due, then they have no choice but to pay the full amount. On the other hand, if they negotiate with the creditors, then the amount that has to be paid can be lowered to a level which the debtor can afford. The federal bankruptcy law also has another very interesting provision for debt slaves. It states that if the debtors are unable to pay back even thirty percent of their debts than they can actually ask the government for debt forgiveness. The government would agree to reduce the actual debt so that the debtor can afford to pay it. So you see, the process can be fast and easy for the debtors too. If you are a debtor who is thinking about bankruptcy, then think again and choose debt forgiveness instead. You can read more on this here: https://www.huffpost.com/entry/5-ways-to-get-out-of-debt_b_2397140.
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