Student Loans and Bankruptcy

Getting Rid Of Your Debt For The New Year: Ideas For You

22 December 2015

Roy Sanders

When you set your New Year's resolutions this year, you may decide that this the year that you are going to finally get control of your finances and overcome your debt. However, you may not know what you can do to achieve that goal. And if you allow yourself to get overwhelmed with your debts, you may give up on your goals before you even get started. However, if you get to know some of the ways that you can start getting rid of your debt this year, you can start your year off right and make your dreams a reality.

Consider Credit Counseling Services

Credit counseling services are designed to help you consolidate your debts and get out of debt as quickly and painlessly as possible. You will go to a credit counselor who will sit down with you and look at all of your finances, including your debts, your income, and your other assets.

Then, they will work with you to form a preliminary debt repayment plan. Your credit counselor will contact your creditors to set up payment arrangements to pay of your debts at reasonable payments in as short a period of time possible. This provides you with some of the best possible debt relief.

The best part of these arrangements is that you will no longer need to contact your creditors directly to make payments. You will deposit money with your credit counseling service every month and they will distribute the money to your creditors on your behalf.

Talk To A Bankruptcy Attorney

If you go to a credit counselor and they cannot negotiate debt relief payments that will be affordable and reasonable for you, then you may need to find yourself a bankruptcy attorney to discuss your options with. Bankruptcy can also provide you with debt relief.

However, filing for bankruptcy is not without its consequences. Bankruptcy will affect your credit score and will be a permanent part of your financial records. When you talk to your bankruptcy attorney, you will also go over your debts and income to see if filing for bankruptcy is right for you.

If, for example, your debt is causing you undue burden or is keeping you from being able to support yourself and your family, then bankruptcy may be your only solution. You can have some or all of your debt discharged through Chapter 7 bankruptcy or can have the court determine a repayment plan that is affordable for you through Chapter 13 bankruptcy.

Now that you know a few of the ways that you can get your finances under control this year, you can be sure that you do everything you can to keep your New Year's resolution and overcome your debt burden once and for all.

To speak with a bankruptcy attorney, contact a lawyer such as Dennis Lee Burman Attorney at Law.

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