Excessive credit card debt can cause undue stress. Many people consider opportunities presented by so-called “debt settlement companies” or credit counseling agencies, or even law firms that specialize in bankruptcy. At the Law Offices of Matthew T. Desrochers, we do not offer a single “program” to help clients settle debts. What we do, instead, is provide information regarding the advantages and disadvantages of the various approaches. This allows our clients to determine confidently which is best suited to their needs. Several options exist for the handling of unsecured debt, such as:
Rarely do we think we can simply do nothing about debt. In some instances, this is the best option. Individuals who have no income or have some type of “protected” income such as Social Security and who have no property to lose may choose simply to allow debt collectors to continue their calls. Our firm makes no money if clients choose this option. We will let you know if this option is in your best interest.
CHAPTER 7 BANKRUPTCY
The Chapter 7 bankruptcy may lead to a “discharge” (elimination) of most debts. This option is not available to everyone. Debtors can learn if they are a candidate for Chapter 7 bankruptcy by taking what is called a “means test,” a new requirement under bankruptcy law.
Chapter 7 bankruptcy is probably not an option for you if you earn an income higher than the average in your state OR you have the means to pay more than $100 per month to credit collectors after meeting your (reasonable) personal expenses.
Regardless of eligibility, many people would prefer to avoid filing bankruptcy for personal reasons.
CHAPTER 13 BANKRUPTCY
Chapter 13 bankruptcy allows debtors to repay debts through the court. Over a period of three years, if income is below the state median, payments are made to a court-appointed trustee. If income is higher than the state median, payments are made over five years.
Payment amounts in Chapter 13 bankruptcy are determined by considering your reasonable living expenses. After these expenses are met, remaining monies are paid to the trustee. You may find Chapter 13 a good option if you:
- Want to stop lawsuits but do not qualify for Chapter 7 bankruptcy
- Are in foreclosure proceedings on a property you own
- Want to make a payment plan with the IRS in order to stop interest and penalty charges on tax debts that cannot be discharged in Chapter 7 bankruptcy.
When neither Chapter 7 nor Chapter 13 bankruptcies are suitable options and there is the means to afford some type of payment to creditors, debt settlement may be considered.
DEBT MANAGEMENT (CONSUMER COUNSELING)
If you are currently making monthly payments or are just falling behind, a Debt Management Plan, designed to reduce both the interest rate on current debts and the monthly payment, may help you eliminate current debt much more quickly.
MAKE AN INFORMED DEBT RELIEF CHOICE
Attorney Matthew T. Desrochers has been trained by, and he continues to work under, the specific instruction of experienced bankruptcy and debt settlement attorneys. He has a decade of experience in his practice and provides details on the various alternatives available to the settlement of debts.
If you choose Debt Settlement, we will assist you with the completion of your application for our program. This application is then reviewed by an attorney. Applications are approved when the attorney determines debt settlement is in the best interest of the applicant.
Our debt settlement services are either directly supervised by a licensed attorney, or are performed in accordance with the strict policies and procedures developed by these licensed professionals.
DEBT SETTLEMENT VS. DEBT CONSOLIDATION
Debt settlement will reduce the overall repayment of debts while the consolidation of debts is designed to organize various financial obligations to achieve a streamlined payment process beneficial to you and your creditors.
When you enter into a debt settlement plan with our firm, it becomes possible for you to avoid the long, black bankruptcy mark on your credit, as well as the years of indebtedness associated with debt consolidation.
Historically, our firm has been successful in settling consumer debts for 40-60% of the total balance. Through this program, clients find relief from excessive debt without incurring interest fees on consolidated debt.
Fill out our FREE debt settlement consultation form and we will get back to you within 24 hours. We can help get you out of debt and help you avoid bankruptcy.
If it is determined that bankruptcy is the best option available to you, we can assist you with filing your case and reaching a successful conclusion.
WHAT MAKES US DIFFERENT?
Our law firm offers services including both bankruptcy and debt settlement. What we do is analyze individual situations and provide our clients with their options for debt relief. Your money is not held in our account!
Our debt settlement program is focused on resolving your debt through either bankruptcy or compromised settlements, whichever is in your best interest.
There is a fee for our services. We only take on those clients, however, for whom there is the potential to obtain significant financial benefits through debt settlement. Our fees, as well, are figured into the monthly payment agreed upon by you and your debt analyst.
With our program, you can reduce the total amount that you will repay and resolve your obligations in a shorter period, possibly months rather than years.
HANDLING CREDITOR HARASSMENT
Harassing creditor phone calls can be one of the most stressful aspects of indebtedness.
After you have been accepted into our debt settlement program, a letter is sent to your various creditors instructing them to contact us instead of you. If calls from creditors persist after this point, our office contacts those creditors by phone to notify them of your participation in our program and to stop calls made to you.
Many debt settlement agencies state that harassment will stop immediately after you enter their program. The truth is that there is no way for any law firm, even ours, to guarantee creditors will completely stop calling. In our experience, however, these calls are significantly reduced within a few weeks of clients entering our program.
ELIMINATE DEBT FASTER THAN YOU EVER THOUGHT POSSIBLE
Many people considering a debt settlement program would be strapped to monthly payments for decades. Utilizing our program, many of our clients have been able to get out of debt in two to four years.
What many people experience, especially with credit card debt, is that they are stuck paying accrued interest and penalties long after they have cleared their initial debt. This vicious cycle often goes on for years. Our debt settlement program is tailored to reduce the overall amount repaid and shorten the period in which repayment is completed.
We believe that each of our clients deserves the highest level of customer service. Your satisfaction is our priority. The success of our programs and services relies on the quality of our relationships with both our clients and the consumer lending institutions with whom our clients work.
The foundation of these relationships includes understanding, mutual respect, and trust. In forming a partnership with our clients, we help them pave a path towards financial freedom.
Contact Our Office Today
In one FREE consultation visit, you can discuss your financial situation with one of our bankruptcy attorneys. After evaluating your debts, we will be able to let you know if one of our debt solutions is appropriate for successful resolution. With our debt settlement program, you may be able to avoid bankruptcy and its lasting mark.
Call today to schedule your free consultation with one of our debt relief experts.