Debt Consolidation vs. Bankruptcy in Burlington County
The Pitfalls of Debt Consolidation
Although debt consolidation through a credit counseling company may seem like a quick and easy fix to your financial struggles, this practice can often cause more harm than good. If you are considering debt consolidation, it is important to do your research; make sure the company you are contacting is reputable and well-known.
Some of the pitfalls of debt consolidation include:
- There are many scams within the debt consolidation industry.
- Companies cannot legally enforce the claims they promise clients.
- Creditors don’t need to comply and continue collecting from you.
- There are often hidden fees associated with these companies.
- Consolidation may lower, but not eliminate, your debt interest.
According to estimates within the debt-counseling industry, only 34 percent of clients successfully complete debt consolidation within three years. Even further, more than 20 states have brought complaints against the industry since 2004.
Bankruptcy is usually a Better Option
It is possible that seeking the help of a debt counseling agency will only further damage your credit. When you seek financial help through an NJ bankruptcy attorney, you have the law on your side and can deal with all your creditors in one fell swoop. Even if a creditor does not want to be involved in your bankruptcy case, they are legally required to do so. If you choose debt consolidation instead, creditors can choose whether or not to participate.
The South Jersey bankruptcy attorneys at McDowell Posternock Apell & Detrick, PC have a track record of successfully steering clients toward financial prosperity and can offer you far more guidance and relief than a debt consolidation company. Seeking a lawyer and considering declaring bankruptcy can be intimidating, but it is ultimately the best option for your financial future.
Why should I contact an NJ bankruptcy attorney about my debt?
- An attorney has the law on their side and can provide more thorough guidance than a debt counseling company.
- Learn exactly how the bankruptcy process works and how it will impact your financial future.
- Find out the difference between the truth and myths associated with bankruptcy.
- Be provided with professional representation through the entire bankruptcy process, ensuring that everything runs smoothly.
- Receive assistance rebuilding your credit to sustain a healthy financial future.
Seek bankruptcy advice with a free phone consultation
You may have thought debt counseling was the easiest solution to your financial problems, but the truth is that bankruptcy is often the best and most reliable option. The South Jersey bankruptcy attorneys at McDowell Posternock Apell & Detrick, PC will explain why bankruptcy may be the best long-term solution for you and explain all your options so you can make an educated decision. Call us today or fill out our contact form to schedule a free phone consultation and learn more about how declaring bankruptcy can turn your life around.