Leading Financial and Family Law Attorneys
Who Else Wants Some Debt Relief?
Debt Relief Means Bankruptcy!
Have you heard the ads? They are omnipresent – radio, TV, billboards.
“Consolidate your bills now! One monthly payment without borrowing a dime!”
“You can stop credit harassment, foreclosures, repossessions, tax levies, and garnishments. Call us to find out how!”
“We provide help to wipe out your debts! Use the power of the laws for you for once!”
Each one these similar ads are based on the same solution – filing for bankruptcy. So why don’t they just say it? Filing for bankruptcy relief can hurt your credit and cost you attorneys’ fees. Many of the company’s running these ads just want your money.
Sometimes, however, bankruptcy is the best solution. We just recommend you talk to a bankruptcy attorney who will work personally with you and not churn you through a system just for your fees.
If you are in such debt that you are unable to see a way out you’re definitely not alone. AS evidenced by all statistics, consumer debt is at an all-time high. Debt problems are not always simply a case of unnecessary overspending using credit cards, lines of credit or loans. Many times life just happens with illness, unemployment, or other catastrophic events that can quickly become overwhelming.
The ads above are designed to capitalize on your overwhelm with promises of quick results, immediate improvement and instant fix. Watch for advertisements that offer such quick fixes. These ads rarely mention bankruptcy although that is their main purpose.
Bankruptcy is definitely one option to deal with financial problems, but it should be the last resort. A good bankruptcy attorney will look in every other option with you first because bankruptcy has a long term negative impact including:
Bankruptcy information stays on your credit report for 10 years. It can hinder your ability to get a job, get new credit, insurance, or even a place to live.
Other options include:
Communicate! Talk with your creditors and try to work out a modified payment plan.
Credit counseling. Organizations that work with you and your creditors to develop debt repayment plans.
Think! One of the easy options to pay off annoying late credit cards or other debt is a second mortgage or an equity line of credit and low rates of interest. Like our federal government this is ‘kicking the can down the road’ and is usually a bad idea. Often this avenue ends up with the debtor now losing a home as the issues causing the bad credit card debt are just transferred the home equity debt and the bank forecloses to get their money. Not good.
Our best advice is to call a bankruptcy attorney for debt relief.
An attorney can help you decide what works best for you with a consultation. (Often the consultation is free.) The facts are that bankruptcy might get rid of unsecured debts and stop foreclosures. Bankruptcy can stop repossessions, garnishments and utility shut-offs, and stop those annoying and intimidating debt collection calls and letters. Depending on circumstances you might keep certain assets, although exemption amounts vary by state.
We can help. We have been assisting folks with debt relief and bankruptcy in New Mexico for many years and are well versed in the options as well as the law.