In a headline that seems so ironic it hurts: Texas based Debt Relief USA is filing bankruptcy.

We talk sometimes about the differences between debt relief and bankruptcy, but this news, as reported by the Dallas Morning News, makes the contrast stark.

When you file for bankruptcy, all of rulings and work and efforts are protected by law. This means that when the court says your debt is clear, it's clear. Creditors, by law, cannot continue to collect on those debts or call or make threats after your case ends.

But with debt relief, you are putting your faith, and your money, in a third party that may or may not get results.

In the case of Debt Relief USA, many customers had been sending the company money in hopes that this would be used to reach a settlement with a credti card company.

Now, that money may be completely lost. No settlement. No refunds. They're back to square one, and still vulnerable to lawsuits and repossession.

Had Debt Relief USA's customers turned to bankruptcy instead, their actions would be protected by law. So when a bankruptcy court ruled their debts would be discharged or reduced, that would decision would be final.

If you need debt relief help, be sure to do your homework and get complete, accurate information before you take any kind of action. Get informed about your options,  and how your choices will affect you and your debt.

If you have questions, speak with someone you trust. If you want to ask questions from a bankruptcy lawyer in your state, we can put you in touch a sponsoring attorney near you.