Debt Settlement vs Debt Consolidation?
Date: Sun, 03/01/2009 - 10:21
We have approx. $225K unsecured credit card debt, mostly from the upstart of our business. We have chosen the route of debt settlement through a trustworthy debt settlement advisor, Absolute Debt Solutions (Tom Bates), and are obtaining much lower settlement amounts than if we were to go through debt consolidation. Unfortunately, due to the slowed sales in our business, we are not consistently able to set aside the money for settlement and would unlikely be able to meet the monthly payments in a debt consolidation program. I'm not comfortable morally with the fact that we spent that money and cannot pay it back in full, however we don't see a way to do that before the SOL or credit report history would expire so it seems more responsible to pursue debt settlement as we're able than to simply ignore the creditors. We live in TX, are losing our home to foreclosure, and there is nothing they can do except go to court for judgements against us. Any advice on something we're not taking into consideration that would be a better way to resolve our situation long-term. We are considering a move out of TX to NC (I posted an earlier question about this today). Thanks for any advice on this.
I know with obamas stimulus thing you may be able to refinance y
I know with obamas stimulus thing you may be able to refinance your home and avoid forclosure on your home with new terms and lower interest rates. As for your credit cards you have 2 options 1 of which youare already doing.
One you can settle. But you said you dont feel comfortable ignoring them. Well for a few months you will have to ignore them to come to a settlement. you will stop paying and start saving for atleast 3-6 months. Then either yourself or through a company start communicating with them again as to what you can pay to have it paid off. ( which is what you are doing).
if you cant do that bk may be your next option. It may be your only way out.
