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My Parents Can Help Me Pay My Debt: What Should I Do?

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Question: Because I lost my job at a large Atlanta company I'm having trouble making my mortgage payments and paying for my BMW and Land Rover. I also now owe a bunch of money on my Visa, American Express & Mastercard bills. But I really don't think I need to file bankruptcy because my mother said she would help me out. Can I do anything besides file bankruptcy to address my debt issues?

Answer: An option besides bankruptcy is debt settlement. Debt settlement involves having us write to your creditors (the mortgage company, the cars, the credit card companies, etc.) to attempt to negotiate a lower payment for you. That is, we would try to have the amount that you owe lowered. It might mean that you'd pay a lump sum to settle the amount that is due or perhaps you can make payments on a monthly basis until the negotiated amount is satisfied. Debt negotiation can work very well for people who have debt but do not or cannot file bankruptcy. Creditors, from mortgage & finance companies to car companies to credit card issuers do not want to write-off the full amount of the debt; they want to get some money. Creditors are well aware that if a debtor files a chapter 7 bankruptcy they will get nothing.

If you have a question on debt or bankruptcy, please call us directly at (678) 712-8561 to discuss the specifics of your situation and how we can help you.

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