Debt Consolidation FAQ

Debt Consolidation FAQ

What is debt consolidation?
Debt consolidation takes all the credit card debt you owe and attempts to reduce your interest rates. The consolidator then has you send a large payment to it each month and attempts to distribute your money to your creditors.

So what is the problem with debt consolidation?
Some creditors refuse to participate and they will continue to hound you. Your larger creditors get paid last and that debt continues to grow.

I only hear about it on TV and radio commercials.
We see many people who essentially have been scammed by supposed debt consolidation and IRS problem solving ads. There could be success stories, but we have never heard them. We have seen plenty of unhappy consumers.

Why would I do this instead of filing for bankruptcy?
You probably should not; it makes no sense from a payment perspective, your credit score and a tax impact. We will explain in detail when retained.

What is cheaper?
Bankruptcy by far. Chapter 7 or 13.

Won’t I have the mark of the devil on my back?
No. You can have good credit in two years; I will explain how during your consultation in my office.

Let us know what questions you would like to see. Email us your questions/comments; no one will call you unless you ask us to. Thank you.

Please be mindful that this web site is to help you find an attorney and is for informational purposes only, not legal advice; the information throughout this website is not and must not be substituted for sound legal advice. Only a lawyer you have retained can take your facts and apply the law to those facts for an outcome which is in your best interests.