BANKRUPTCY UPDATES

• Taking Your Credit Score from Bankrupt to Perfect 10 (May 21, 2012)
• Music Storage Website MP3Tunes.com Seeks Bankruptcy Protection (May 22, 2012)
• Book Publisher Houghton Mifflin Harcourt Files for Bankruptcy (May 17, 2012)
• Las Vegas Tycoon Lists $500 Million in Debts in Bankruptcy Filing (May 15, 2012)
• Nassau Broadcasting Sells its Assets in Bankruptcy Court (May 22, 2012)

Services to Reduce Debt

When debt begins to overwhelm your life, it’s natural to begin to look for services to reduce debt. Unfortunately, there are a lot of companies that advertise themselves as debt reduction firms but offer little or no actual debt relief to their customers.

If you choose a debt reduction service that doesn't fit your needs you may find yourself deeper in the hole.

That's why so many people turn to bankruptcy to get access to services to reduce their debt and protect their property. Bankruptcy is designed to help people dealing with many different types of debt who need different types of help.

If you’re ready to find out whether bankruptcy may be the debt-reduction service you've been looking for, complete the free form on this page. We'll connect you right away with a local bankruptcy lawyer for a free case evaluation.

Bankruptcy Vs. Other Services to Reduce Debt

While bankruptcy alternatives like credit counseling or debt settlement may seem like appealing solutions to a heavy debt load, some services to reduce debt are less helpful than they claim to be. Here’s a look at how bankruptcy alternatives can stack up against bankruptcy itself for offering significant, lasting debt reduction.

• Bankruptcy is regulated by federal and state laws. When you file for bankruptcy, you do so with the knowledge that your case will be protected by legal standards and lead to a specific outcome (generally, the reduction or elimination of your debt). Other services to reduce debt (including debt consolidation loans, debt settlement, etc.) have different regulations and standards. If you're not dealing with a reputable company you could get stuck with your debt.
  
• Bankruptcy eliminates the legal obligation to pay certain debts. When a filer receives a bankruptcy discharge, they are officially excused from paying certain debts. Forever. As long as they adhere to the court’s rules, their legal obligation to pay discharged debts disappears. If a creditor tries to collect on these debts they may be breaking the law. Not so with bankruptcy alternatives. Other debt relief options may still leave filers vulnerable to lawsuits, further collection or taxes owed on forgiven debt.
  
• Bankruptcy can silence creditors. When a bankruptcy case is filed with the court, the automatic stay prevents creditors of all kinds from attempting any collection action while the case is in progress. This can mean a reprieve from debt collectors’ phone calls and letters. Other services to reduce debt do not offer this type of legal protection, and you may still have to deal with debt collectors while you try to work through your financial woes. Plus, the automatic stay may also stop foreclosure, repossession and wage garnishment, something few other services offer.
  

Ask a Bankruptcy Lawyer About Debt Clearing Services Today

If you’re ready to find out more about whether bankruptcy might offer the services you need to clear your debt and get a new start, speak with a local bankruptcy lawyer. Connect today for a free case evaluation with a bankruptcy lawyer near you when you complete the free form on this page.