What looks worse on credit rpt. BK vs Settlement?
Date: Mon, 01/28/2008 - 13:36
Settlement Guy: he claims it wont stay on your credit report for 10 years but will be reported as Paid/ Settled for Less >>> to me that seems like it would look just as negative to a creditor anyhow
BK Lawyer: Says the purpose for a couple like us who has 50k in debt is to have a "FRESH Start" so we should both file and said that settlement companies dont work because they take all your money in fees and things start to go into collections which will look close to just as bad as bankruptcy
Does anyone have dvice for me on these 2 choices? Please help. Thank you!
In my personal situation we were $300,000.00 in debt due to bad
In my personal situation we were $300,000.00 in debt due to bad business adventure and no way out so we had no choice but to file a chapter 7. Even though it was bad and we felt horrible but we basically had no choice.
It has now been going on 4 years and we are back to what mortgage brokers consider "A" paper fico is about 730 so it wasn't all that bad. I guess it just really depends on your feelings and future earnings.
Bankruptcy is a serious step and shouldn't be taken lightly..really think hard before you do anything. I personally have heard that debt settlements are as bad as bk...at least with a bk you get a fresh start..it's just entirely up to you.
Other's will be along shortly to give advice. Take care
