When your debt to income ratio tips in favor of debt, it can hard to know what to do. There is always the option of finding a side job or supplemental income, but these opportunities may be hard to come by in this economy. It is also important to understand that many people who are in extreme financial straits have suffered some form of a hardship, and are unable to work and earn an income. It is when debtors hit a brick wall and have no feasible way to pay back their loans that they turn to bankruptcy.

Filing for bankruptcy is not as simple as it may seem. The federal bankruptcy laws changed in 2005, making it harder to qualify. Chapter 7 and Chapter 13 are the two most common forms of bankruptcy. Chapter 7 enables the debtor to erase all of their unsecured debt. Chapter 13 is a five year repayment plan for those who make too much money to qualify for Chapter 7. Filing for bankruptcy will stay on your credit report for seven to ten years. This can make it difficult to obtain more credit, take out a mortgage, or secure a car loan. Filing for bankruptcy is also not cheap. You can expect to pay $1200 to $1500.

Despite the many negatives involved with filing for bankruptcy, almost 1 million people have filed each year for the last few years. Perhaps people are so desperate to have debt help and move on with their lives that they don’t research other options. It is also likely that many debtors aren’t aware that there are other fast ways to become completely debt free. It is possible to avoid bankruptcy, and it is something you should make an effort to do. Bankruptcy can be very detrimental in the long run, and it is best to avoid bankruptcy by participating in a credit card debt settlement program. To learn more about how our debt settlement program can help eliminate your debt in 12 to 36 months, please fill out our no obligation debt settlement form.

If you are a candidate for bankruptcy, you are also eligible for debt reduction, and therefore should consider our debt settlement program before filing for bankruptcy. During the debt settlement process, you will not make any payments to the lending institutions that you owe. Rather, you will make one low monthly payment that will go towards your settlement. One of our debt settlement experts will handle all communication with your creditors and work towards compromises with them. The final debt Negotiation balance will be not be charged until your debt settled and will be paid in full. This procedure will continue until each and every one of your unsecured debts have been settled and paid off.

The length of our debt settlement program depends upon the willingness of your creditors and the amount of loans that you have to settle. Our debt settlement program can usually be completed within 12 to 36 months. Although debt settlement make take slightly longer than filing for bankruptcy, it won’t have such a negative effect on your credit report. If you would like to avoid bankruptcy, please take a moment to fill out our no obligation debt settlement form. One of our debt settlement representatives will contact you to review your financial situation and set you on the path to becoming debt free.

List of States where we offer debt settlement

• Alaska AK

  Arkansas AR

  Alabama AL

  Arizona AZ

  California CA

  Connecticut CT

  Delaware DE

  District of Columbia DC

  Florida FL

  Idaho ID

  Illinois IL

  Indiana IN

  Iowa IA

  Kansas KS

  Kentucky KY

• Maine ME

  Maryland MD

  Massachusetts MA

  Michigan MI

  Minnesota MN

  Mississippi MS

  Missouri MO

  Montana MT

  Nebraska NE

  New Hampshire NH

  New Jersey NJ

  New Mexico NM

  Nevada NV

  New York NY

  North Dakota ND

• Ohio OH

  Oklahoma OK

  Oregon OR

  Pennsylvania PA

  Rhode Island RI

  South Dakota SD

  Tennessee TN

  Texas TX

  Utah UT

  Vermont VT

  Virginia VA

  Washington WA

  West Virginia WV

  Wisconsin WI

  Wyoming WY