Credit Card Bankruptcy - How Consumers Can Avoid Bankruptcy And Settle Bad Credit Debt

Online, December 12, 2010 (Newswire.com) - There are more cases of credit card bankruptcy than ever before. For nearly two decades Americans were given unlimited access to high interest credit lines and now many of them are trapped under massive balances. If you have massive credit card debts and feel like bankruptcy is your only option, think again. There are legal ways to settle bad credit card debt and here we explore the most popular methods.

Debt settlement is seen as a legitimate alternative to filing bankruptcy. It is ideal for consumers and small businesses that are struggling to pay their credit card bills and don't want to file bankruptcy. Those that qualify will be able to eliminate 40-60% of their unsecured credit debt balances with the help of a legitimate debt settlement company . While this debt relief option will negatively affect your credit score in the short term, that is a tradeoff to be able to eliminate 40-60% of your credit card debts.

This used to be a very risky option for credit card debt relief but it isn't really that risky anymore thanks to new federal laws. These laws ban debt settlement companies from collecting upfront fees. Now they must actually live up to their word and negotiate a successful settlement deal in order to get paid. These new federal laws go a long way in making debt settlement one of the better and more affordable options out their. If they don't negotiate a successful settlement deal and eliminate at least 35% of your balance, you don't have to pay a dime.

Debt settlement is seen as a legitimate alternative to filing bankruptcy. If you have over $10,000 in unsecured debt and are experiencing a financial hardship then a debt settlement can make financial sense. These new debt relief laws have put all the shady debt relief services out of business. Only the legitimate programs are left. The companies with a proven track record of successful debt settlement deals will have no problem collecting their fee on the back end when the debts actually settle.

There are also other debt relief options available. Check out the following link for a free consultation from a certified debt relief specialist in your area. They will go over all your debt relief options for free:

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