Possible Disadvantages of Debt Settlement

If you have been struggling with large amounts of debt, you may be feeling frustrated or anxious. Under these circumstances, it can be tempting to accept any opportunity that seems to offer the hope of relief, possibly without fully considering the implications of a particular course of action. This has the potential leave you in a situation that is worse than before.

If you are struggling to make regular and timely payments to your creditors, service providers, and others, then it is important that you seek the advice of a skilled and experienced bankruptcy attorney about the possible benefits or drawbacks of filing. To schedule a free initial consultation, contact the Arizona bankruptcy lawyers of the Harmon Law Office, LLC at 480-829-0494 today.

Debt Settlement Dangers

The service that debt settlement companies purport to offer is likely to spark the interest of a severely debt-strapped individual. Essentially, the premise behind these enterprises is that they will help you to resolve your debts for less than you owe, often by quite a substantial margin. However, the process can have potential downsides, such as:

• When you are severely delinquent on an account, you often have the power to negotiate a settlement without the assistance of debt settlement company or other party.
• They may abandon you as a client if any of your creditors pursues legal action against you.
• You may be expected to save money for a settlement payment over a period of as long as two years, and until that goal amount is reached you will not be in any better position than you were before.
• The fees and costs that you will be charged for the service are rarely clear.

If you are struggling with debt, it is important to weigh your options carefully. A proposal that seems helpful may have downsides that need to be considered.

Contact Us

For an honest assessment of your financial situation, contact the Arizona bankruptcy lawyers of the Harmon Law Office, LLC at 480-829-0494.