We have been in a chapter 13 plan for 39 months now of a 60 mos. plan. All of our secured debts have been paid and we are now only responsible for a few credit card balances. We would like to convert to a chapter 7, but will likely fail the means test. Would letting the case get dismissed be a viable option for us, and what effect would this have on our credit that we have started to re-establish?
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.