why not just file for bankruptcy?

Greetings "honkytonk man",

Banruptcy is a tossup for some.
If you have too many assets/too much income, chptr 7 doesn't work.
If you don't want to be supervised by the the courts, chptr 13 ain't for you.

If you want to attack the creditors head on, settlement might work.

But all in all, find a bk lawyer and see what he/she says.
Chptr 7 gives you a fresh start and no 1099's for the debt.

Settlement may or may not leave you with a tax liability.
Lots of variables.

And lots for you to think about.

Please keep us posted.
King " Kash" Jabba Labba

Thanks for the reply. I think I am going to call a bankruptcy lawyer tomorrow and see what they say. If I can swing chapter 7, I figure I might as well. My credit is already destroyed, so what's a little more.

Because the bankruptcy will follow you for 10 years. My daughter declared bankruptcy 5 years ago and I thought it would fall off her credit report in 2 years. Not so. I am only cautioning you because I had to co-sign her apartment lease. Weigh all your options and do what's best for you financially.