Condalidate
Date: Thu, 08/19/2010 - 22:55
Is consolidating the same as filing for bankruptcy
No debt consolidation and bankruptcy are not the same thing. In
No debt consolidation and bankruptcy are not the same thing. In debt consolidation you consolidate all your debts into one so as to make a single payment each month instead of several toward your different accounts. The interest rate decreases too in a debt consolidation. However, the interests and other fees continue to accrue.
In a bankruptcy the person filing bankruptcy is released from personal liability on most of his debts, though not all. Moreover when you pay off some parts of your debt through bankruptcy the interests and other fees cannot accrue as bankruptcy automatically puts a stay order.
