Debt can make you take drastic measures and if you are not careful, you can end up in a worse situation than you are now. Try to forget about bankruptcy and focus on debt settlement because this way you are much more likely to clear your debt and maintain a good credit score. If you plan on using debt settlement, also known as debt negotiation, there are a few tips that might just help you get a better deal and so be able to clear your debt faster.
1) First thing’s first; you will need to see if you meet the requirements needed. You don’t want to waste any time with a debt relief option that might turn out to be worthless for you. The requirements are not that many and basically you will need to have unsecured debt of over 10.000 dollars and have a good reason for not paying it on time. The rest is pretty standard and you should have any problems with other demands.
2) Secondly, you need to hire a debt settlement company. You might think that you can do this alone and negotiate without any help but if you really want to get over with it as fast as possible, it is strongly recommended to hire a debt settlement company because they are more likely to get a good deal and not to mention that they will be able to finish much faster as the creditor will pay more attention to your demands if you are represented by a company.
3) After this, you need to stand back and let the company do their job; the process is not very stressful as you can see and you can use this period to save some money so that you have a head start when you need to pay back the creditor for the amount that remains.
4) Once your debt is settled, you will need to pay the debt settlement company with a percentage of what they reduced. After this, you need to pay creditor the rest of your debt and this can mean saving money for a few years and just paying them in a lump sum.