As Carolyn Secor, P.A., an experienced bankruptcy lawyer can explain, if you are in debt and having trouble paying your bills, you may want to consider a settlement plan. Debt settlement allows you to resolve your debt for less than what you owe. If you cannot afford to pay back your obligations, then you should consider debt settlement.
If you want to settle, you may be wondering if you should talk to a lawyer. Here are three reasons you should discuss your debt settlement with a bankruptcy lawyer.
Bankruptcy Lawyers Have Legal Knowledge
How much do you know about settling your debts? Most consumers do not know all of their rights. You may be able to use debt settlement laws to your advantage. Your bankruptcy lawyer can analyze your situation and decide what course of action you should take. If he or she thinks a settlement is your best option, he or she will teach you how to negotiate with your creditors and how much you should try to settle for. Lawyers do not want you to be scammed by creditors.
Bankruptcy Lawyers Have Negotiation Experience
Bankruptcy lawyers deal with creditors every day. You may not have the ability to negotiate properly. Many creditors are more likely to give a favorable option to someone with a lawyer than someone who doesn’t have one. After all, your lawyer is in your corner to ensure that you receive a fair agreement. Your lawyer can also instruct you on what actions to take to provide a better deal. For example, you may think paying all of your bills will allow you to receive a debt settlement, but in reality, it might be more beneficial to not pay in advance.
Bankruptcy Lawyers Can Help if Debt Settlement Doesn’t Work
While many consumers use a settlement to avoid bankruptcy altogether, you should not see bankruptcy as a wrong choice. This option can help you obtain the clean slate you need to take control of your financial situation. While this process does hurt your credit, you can always rebuild your credit after.
Bankruptcy tends to be a faster option than settlement. It can also help stop collection calls and reduce the risk of lawsuits. Your choice depends on your current situation and preferences.
When it comes to debt settlement, you should set up a consultation with a bankruptcy attorney as soon as possible. He or she can walk you through the process of settling your debt for less than what you owe.