QUESTION
Is Bankruptcy better than debt consolidation?
Asked on Mar 07th, 2013 on Bankruptcy - Michigan
More details to this question:
If I owe more than 22,000 dollars in court fines from an accident, and over $8,000 in debt, should I file bankruptcy or do a debt consolidation?
7 ANSWERS
Deciding whether or not to file for bankruptcy or debt consolidation should weigh the factors of whether you can afford to pay your debts within a reasonable amount of time. If you can't pay them in a reasonable amount of time, then filing bankruptcy will be a better option. Remember a bankruptcy will stay on your credit for 7-8 years so if you can't pay those debts off prior to this time then a bankruptcy might be a better option for you.?
Answered on Mar 18th, 2013 at 1:55 PM
Bankruptcy Attorney serving Hampton, VA
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Haven Law Group, P.C.
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A bankruptcy has the force of law behind it. I have many clients who have tried debt consolidation and for one reason or another it just does not work out.
Answered on Mar 14th, 2013 at 3:32 PM
Bankruptcy Attorney serving Phoenix, AZ
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Law Office of D. L. Drain, P.A.
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No one can tell you which is better. It depends on many factors: If you choose debt workout, the best company to use is called National Foundation of Consumer Credit Counselors. They were originally called Consumer Credit Counseling Services and have been around since the 1950s. If you want to investigate bankruptcy, please understand that bankruptcy is a very complicated process. It is wise to talk to an experienced bankruptcy attorney before deciding to take this important step.
Answered on Mar 07th, 2013 at 1:56 PM
Bankruptcy Law Attorney serving Livingston, NJ
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Law Office of Stuart M. Nachbar, P.C.
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Yes, bankruptcy is a better, but the Court fines might not be dischargeable depending on what they are for, especially if alcohol was involved in the charge.
Answered on Mar 07th, 2013 at 1:48 PM
Bankruptcy Attorney serving Walnut Creek, CA
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Alan E. Ramos Law Offices
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The decision to file bankruptcy or to find another strategy to resolve your current difficulty is a product of reviewing the totality of your circumstances, not just a couple of facts. You should explore alternatives to bankruptcy and get advice from a professional who has your best interests at heart and not theirs.
Answered on Mar 07th, 2013 at 1:47 PM
Many arguments can be made both ways. You need to understand that there is no such thing as debt consolidation. This phrase just means debt settlement, and is not likely to work if you owe money to the government on a court fine. Although many court files can be eliminated through bankruptcy, some cannot depending on the exact nature of the fine. So there will be no substitute for an in person consultation with an experienced bankruptcy attorney.
Answered on Mar 07th, 2013 at 1:47 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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I would suggest that you speak with a bankruptcy attorney, generally court fines are not discharged will, however damages assessed in a civil suit are.
Without additional details it is impossible to give you a good answer.
Answered on Mar 07th, 2013 at 10:32 AM