Search For Bankruptcy Public Records

Search For Bankruptcy Public Records

Debt Lawyer: Declaring Bankruptcy Vs. Debt Consolidation


According to data from the American Enterprise Institute, the economy of the United States generated 5.6% more output in the year 2013 than back in the fourth quarter of 2007. In addition, corporate profits now exceed pre-recession peak levels by more than 40%.
The bad news is that output is being produced at the cost of the jobs of two million workers.
In these tough economic times, it is becoming harder and harder to find, let alone, keep a job. If you find yourself unemployed and with more debt than you can hope to pay off, you might have to choose between these two debt management strategies.

Debt Consolidation

For people who want to maintain a good reputation and credit score, debt consolidation is usually the way to go.

When you consolidate your debt, you take out a loan that you use to pay for all of the smaller loans that you have. Supporters of this strategy present it as being easier than having to manage multiple debts.
Pros
As mentioned above, simplicity is one of the main reasons that people like debt consolidation. The psychological benefit of not having to juggle multiple loans is immense.

Your Reputation is Protected

Anyone who puts in enough effort is sure to find out about your history with bankruptcy. Debt consolidation on the other hand, can’t be found on public records. Debt consolidation also usually doesn’t affect your credit score

Cons

There a Chance Your Property Will Get Taken Away

If you end up defaulting on your loan payments, any property that used as collateral may end up getting taken and used to satisfy debtors.

Hidden Costs

Though debt consolidation gives you a chance to pay less per month and have a lower interest rate, staying in debt for too long could make you end up spending more than you originally planned.



Bankruptcy

If you file for bankruptcy, you could either end up eliminating or repaying your debts with the supervision of a bankruptcy court. There are generally two main kinds of bankruptcy: liquidation and reorganization.

Chapter 7 bankruptcy is classified as liquidation. That is because a trustee will sell your property to pay back your debt. Not all property can be taken and sold as some of it is protected under the law.

Though there are three different kinds of reorganization bankruptcy, they all share something similar. All of them reorganize your debt and allow you to repay your debt under a repayment plan.

Pros

Protection


Once you declare bankruptcy, you are under the protection of the law. The ‘automatic stay’ prevents your creditors and collectors from trying to collect from you. You will be protected from lawsuits, phone calls, repossessions, foreclosures and garnishments.

A Clean Slate

Though your credit rating may take a hit, filing for bankruptcy gives you the chance to eliminate most of your unsecured debt and start anew. Building your credit score back up is easier than having to live from hand to mouth for a few years.

Cons

Your Reputation Takes a Hit

Because bankruptcy records are available at the courthouse where you filed, anyone who searches hard enough is going to know. There is also the inevitable hit that your credit score will take.

Edith Morris, Daniel Flowers, Nora Miller, Carol Williams, Denise Rose, Mary Carter, Arnold Sullivan, William Martinez, Florence Fleming, Susan Hanson, Carol Peters, Dolores Hill, Rebecca Evans, Rebecca Palmer, Sandra Collins, Hugh Garcia, Esther Lucas, Don Johnson, Christina Davis, Naomi Young, Leonard Robertson, Agnes Greer, Rose Williams, Dawn Tucker, Barbara Johnson, Frederick Nichols, Melvin Franklin, Marilyn Strickland, Kevin McKenzie, Sharon Burke, Leroy Weber, Leroy McDaniel, Kristina Sharp, Bonnie White, Roy Farmer, James Walker, Steven Arnold, Timothy Price, Jeff Thomas, Misty Jones, Bonnie Burke, Eric Carroll, Thomas White, Samuel Beck, Jeffery Richardson, Fred Davis, Joan Powers, Shawn Moore, Ruby Johnston, Colleen Bowers, Luis Sullivan, Mary Ellis, Ruth Edwards, Kristen Burton, William Fleming, Raul Ballard, Mary Collier, Floyd Warren, Rose Jones, Timothy Vega, Carolyn Stanley, Fernando Walters, Seth Lee, Stacey Hill, Scott King, Helen Curtis, Lynn Brown, Mark Crawford, Maria Coleman, Pamela Wheeler, Marilyn Parsons, Alvin Smith, Sara Henderson, Patricia Reese, Susan Nelson, Bryan Caldwell, Shirley Blair, Sara Anderson, Donald Baker, Eddie Carson, Olga Moore, Mary Collins, Heather Mitchell, Jim Stone, Tony Weber, Joseph Santiago, April Little, Brandy Taylor, John Henderson, Seth Roberts, Charles Dixon, Brian Stokes, Katherine Newman, Kathleen White, Lena Smith, Jeff Perez, Peter Torres, Susan Russell, Karen Johnson, Janice Harvey

Post a Comment

0 Comments