What Is the Best Advice If Your Credit Is Bad?

Many people find themselves in debt and more often than not, it is purely because they have fallen on hard times, not because they “have a problem with money”. I recently read about one woman who was left with the expenses of raising children with no help from their father who had left. She also had her mother and brother living with her, who were both unemployed and had to financially support them as well. She barely had enough money for food and basic essentials, so over the years, had accumulated debt through numerous ‘credit card increased limit offers’ and deals which she had been drawn into.

She was afraid. She didn’t have money to pay lawyers or debt counselors for their advice. She was afraid to answer the phone for fear of so many people she owed money to and even wondered whether she might be put in jail because of her debts.

Sound familiar?

Well the good news is, that there is no such thing as a “debtors prison”. It would not be in the interests of society to throw people into prison for misfortune. These are matters for the civil courts (if it comes to that) rather than criminal jurisdiction. This doesn’t mean that you won’t receive a court judgement against you and that a sheriff won’t come knocking one day, wanting to claim whatever he/she can of your possessions to offset the debt. But there are ways to avoid this also.

If your credit history is bad and you’re financially strapped, here is some advice that may help.

Firstly, compile a list of all bills and expenses you have. If you have credit card debt, summarize the balance, minimum payment amount and interest charges.

Now break your expenditure list into essential and non-essential payments. “Essential” means survival needs like food, electricity and rent or mortgage as the case may be.

Prioritise the “essential” things to be paid first. Anything left over can be distributed among the non-essential items. If a debt collector tries to harass you, don’t even think about using your survival money to satisfy them. The law is on your side here. If debt collectors become hostile or harass you, they are in violation of the law.

From now on, only spend money on essential things. If you have other people you’re taking care of beside children, they should be asked to contribute something towards living expenses. Or if not, perhaps they have a skill they can use to help save money (e.g. do repairs, mend clothes, run errands)? They may even be able to develop a hobby into a small money making venture, to supplement the family income.

Debt problems can be very stressful and if unresolved, make life a living hell. But you can take control by working out a plan and educating yourself about how the law works to protect your rights. Knowledge is power!

Tips For Finding the Best Bankruptcy Lawyers

Most of us know how stressful it can be to get behind on a credit card payment or student loan. Even those of us who are fortunate enough not to have had these experiences can probably imagine how difficult it is for someone going through this. Although it should not be taken lightly, bankruptcy remains a viable option for those needing a fresh financial start. Picking the best bankruptcy lawyers possible is an important step in reaching a light at the end of your financial tunnel.

The first thing you should keep in mind when looking for a lawyer is that some attorneys specialize in bankruptcy law. In most cases it is recommended that you find a lawyer specializing in bankruptcy, since lawyers that have a more general practice may not have as much expertise in your field. The new bankruptcy law has made things more complex, and attorneys have to work diligently to keep up with the latest developments and court rulings.

It is unlikely that a lawyer who has a general practice would be able to keep up with these developments. That’s why bankruptcy law firms are highly recommended if you’re looking for solid advice on the bankruptcy process. But how can you be sure you’re getting the best advice possible?

Many bankruptcy lawyers offer you a free consultation to discuss your case. They look at the details of your situation and then recommend whether you should declare bankruptcy. The problem with this model, however, is that the lawyer will not get paid unless you end up declaring bankruptcy (so there may be a conflict of interest).

For this reason, you may want to consider paying for your initial consultation. You simply pay the lawyer the normal hourly fee in exchange for an honest review of your circumstances. This can make it more likely that you’ll receive objective advice instead of just encouraging you to file for bankruptcy.

The one thing you definitely don’t want to do is try to go through the process by yourself. Going through bankruptcy without a lawyer is a pretty foolish thing nowadays. The law has become more complex, and you simply need solid legal advice to help you through it. However, getting your financial documents in order and learning as much as possible about the process can make your legal consultation go more smoothly and end up costing less.

Credit Card Debt Elimination – What’s the Best Advice For Credit Card Debt Elimination?

Credit card debt elimination is what the people around the world are looking for. Credit card debt elimination is important to get rid of your highly contaminated liabilities.

First of all, let us discuss in brief what gave rise to the financial problem in the economy and how it can be solved legally.

Recession is the main factor which has caused a sudden breakdown in the fiscal policy of the economy. Many people had difficulties to survive on the little savings they had though the income was very less. Even the creditors faced huge losses because the loan takers declared themselves as bankrupt at that time. Today, there a re many firms who have entered into the market for providing financial relief and settlement help to the people for getting their liabilities removed. Finally, the process and concept of the financial settlement firm is credit card debt elimination.

Here are some tips which can be helpful for you to get your liabilities removed and stay tension free.

1. Firstly, you should calculate all your liability and expenses by adding up the bills.

2. Once, you have collected the amount of your expenditure and income, you have to make financial plan.

3. If you are facing difficulties for managing your finance and cash flow, then you are advised to consult a financial expert of an attorney.

4. Credit card debt elimination is a legal and monetary matter so you should not disclose it to others rather than the professional lawyers or professional financial experts.

5. You can also approach a financial company and request for the liability adjustment so that you can get some exemption on your highly accumulated liabilities.

6. You should provide proof of your financial status and appeal for a bailout because you are not able to repay your creditors.

When you submit the documents to your financial firm, they will scrutinize the financial statement and then prepares a report of the rate of reduction you are eligible for. If your consolidated liabilities are more than ten thousand dollar, then it is important to opt for credit card debt elimination or else you cannot get reduction and exemption. Hiring a good financial company will be beneficial because they will help you to get reduction more than 60 or up to 70 percent on the total amount of accumulated liabilities.