Debt Settlement or BK?

[Fred_BK]

What is the name of your state? NY

I am about to make a decision and need your help please.

I have received a VERY good offer from a credit consolidation company that could reduce my debts by 50%. Their fee is $6,300 and my debt is $45,000.

They have created a payment plan for me and told me that my credit won't be hurt after I purchase their credit correction program for $1,500.

I was originally planning to file for Chapter 7 and use a lawyer for $2,000 only (compared to $6000) but now am confused because my credit could be corrected by purchasing a credit correction program.

So why doesn’t everybody do credit settlement when it also cuts your debts and keep your credit intact?

In the past 3 years, my salary could not cover my dept. But now in the last week my salary is suddenly VERY high compared to my last 3 years!!! So I have 2 questions:

1) Does the BK court consider my EXCELLENT current salary from my temporary job in order to decide if I am eligible for Chapter 7 case?

2) Or does the court consider the past 3 years and disregard my EXCELLENT salary from my temporary job?

3) Which option is better: Credit Settlement or Chapter 7?


Thank you very much.

[bigun]

So why doesn’t everybody do credit settlement when it also cuts your debts and keep your credit intact?

Because the programs are total BS.

) Does the BK court consider my EXCELLENT current salary from my temporary job in order to decide if I am eligible for Chapter 7 case?

The key word id temporary. How temporary is it?

Most bk lawyers give free initial consultations. Talk with a couple and get your options explained. Don't get ripped off by one of the debt negoiation schemes.