Debt Negotiation Facts

The success of all debt negotiations depends upon using a realistic and persuasive approach. Reductions are not automatic. Creditors are growing more aggressive, emboldened by the fact that new restrictions upon consumer rights effectively prevent many old avenues of relief. Success though is easily within the reach of most troubled borrowers. The negotiation of debts is best completed by a professional, who is in a unique position to argue laws, present more favorable legal options, and even rely upon the implied threat of litigation. The simple fact remains - individuals who attempt reductions based upon merciful letters are seldom successful.

Bankruptcy - factual statistics

Filing bankruptcy is rather easy and very affordable, yet the success rate of Chapter 13 plans remains dismal. Fewer than one in ten cases result in a completed plan with remaining debts discharged. Most often, cases are dismissed prematurely for nonpayment according to plan requirements. Because qualification under new bankruptcy laws means test requirement excludes almost all average and above income earners, bankruptcy is no longer the panacea it was up until 2005.