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Learning more about debt settlement

The process of debt settlement entails a debtor asking a creditor or creditors to take less than what they owe. While this may be advantageous for some South Carolina consumers, there are several variables that come into play before such a request may be seriously considered. First, a debtor must have one or more late or missed payments or an account has just gone into collections.

Absent this, a creditor may believe that a debtor has the means to repay the debt and will ask for full payment of an outstanding balance. However, for those who think that a debt settlement is in their best interest, they have three options to go about getting one. Two common options include working with a debt settlement company or talking directly to creditors in an effort to work out alternate payment terms.

The third option involves having the assistance of a lawyer who may charge a flat fee for services rendered or a percentage of any debt reduced. For those who are attempting to get a debt settlement on their own, it may be best to offer a lump sum payment as that guarantees creditors some money upfront as opposed to waiting for payments. Money may be accumulated through a second job or getting a loan from family members or friends.

Those who are looking for debt relief may wish to file for personal bankruptcy under Chapter 7. Doing so may stop harassing creditor phone calls, put a temporary halt to a foreclosure and end up with some unsecured debts being discharged. There are a variety of eligibility and other requirements associated with this chapter that an experienced attorney can outline.

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The Huggins Law Firm, PA

Columbia Office
1812 Lincoln Street
Suite 201
Columbia, SC 29201

Phone: 803-764-1558
Fax: 803-764-1563
Columbia Bankruptcy Office

Columbia Office

Charleston Office
925-D Wappoo Road
Charleston, SC 29407

Phone: 843-509-0039
Fax: 866-481-2325
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Charleston Office