Bruce S. Rosenwater & Associates, P.A. 1601 Forum Pl #610, West Palm Beach, FL 33401, USA
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Opening Hours
  • Mon - Fri: 8:30 AM – 5:00 PM, Sat - Sun: Closed

What are the bankruptcy alternatives?

Effects of Bankruptcy on Your Credit ScoreSometimes when people are in a financial bind and they’ve fallen behind in their bill-paying they file for bankruptcy in West Palm Beach a little too fast. There are other alternatives to bankruptcy and steps you can take. We will give you guidance to the best ones and let you make an educated decision.

Debt Consolidation

Debt consolidation may be the answer and the alternative to bankruptcy for you. If you are not a business but are an individual, you may need to contact a debt consolidation program today. However, there are some drawbacks to this too. It does stay on your credit report as a bankruptcy would and you won’t be able to open a new line of credit for a while afterwards. You will have to cut up and surrender your credit cards and you will be on a strict diet of paybacks in an amount that they and you agree on. You are charged interest if you miss a payment as well.

Credit Cards that Consolidate

Is your debt all or the majority credit cards? Then you may want to consider a credit card company that lets you pay off the other credit cards with theirs. In other words—they buy your debt from other credit companies and will come to an agreement with you to pay it back with them—the catch? Astronomical interest and don’t dare be late!

Making Payment Arrangements with the Companies you owe

Nowadays people just wanna get paid. They are normally open making payment arrangements for you until such time as you are paid off. If this is a fairly old debt they may ask you to have them settle on a round amount and that will pay you off.

Be aware of one very important fact before you choose. Each time you make a payment on an old debt it starts your debt all over on the new date. Each person’s’ debt falls off the credit report in 7 years—if it is nearly that time don’t pay a dime! Let it go if it’s almost there!