Bradenton Bankruptcy Alternatives
Are you drowning in debt? When a person is in financial trouble, daily life can be a constant struggle to pay for basic living expenses while trying to keep up with mortgage and credit card payments. While filing for bankruptcy has helped many individuals get out of debt, there are alternatives to bankruptcy that can also improve your financial situation, such as:
- Loan modification
- Debt negotiation
- Debt settlement
- Debt consolidation
A loan modification will change the terms of your mortgage loan such as reducing your monthly payment and interest and possibly eliminating accrued interest. Loan modifications can make it easier to keep up with payments and help prevent the loss of your home through foreclosure. Debt settlement can result in a reduction in the total amount of money you owe a creditor, which is then paid off in installments or one lump sum. The process of debt consolidation involves acquiring one large loan at a lower interest rate to pay off smaller debts.
Remedies like these can not only reduce or eliminate your debt, but will also result in extra income each month that can be applied toward other expenses. Before making any decisions about your finances, contact David Holland Law to discuss your options. Choosing the right debt solution is important. At your free consultation we can discuss the pros and cons of all of your debt relief alternatives so you can make the best decision possible.
Frequently Asked Questions (FAQs)
What happens if I am sued for a debt and I miss my court date?
If you miss your court date, a default judgment will be entered against you. This is not good news. However, in some cases it is possible to get a default judgment set aside and a new hearing scheduled. If you are being sued, in most cases it is best to attend the hearing with your lawyer after thoroughly preparing in advance.
What is the statute of limitations, and why does it matter?
Florida statute of limitations law sets the deadline by which a creditor must either file a lawsuit against you or give up on the debt. For Florida debts, that statute of limitations deadline is:
- Five years from the date of default, for a debt that is in writing.
- Four years from the date of default, for a debt that is not in writing.
- One year for a real estate foreclosure deficiency judgment.
Seek legal advice – it can be tricky to determine the exact date that the limitations period begins to run.
Can't I just negotiate my debts on my own?
It's not a good idea. Debt collectors, whether they work for the original creditor or for a collection agency, are full of tricks that experienced debt relief lawyers know about but most consumers don't. Did you know, for example, that by agreeing to pay one dime on a debt that is barred by the statute of limitations, you could revive your legal obligation to pay the entire debt?
Are there any circumstances when bankruptcy would be a better option?
Certainly. It depends on your individual circumstances and priorities. In some cases, it might be better to wipe the slate clean with a Chapter 7 bankruptcy. This strategy could be ineffective, however, depending on the circumstances. It might be useless if most of your debt is student loan debt, for example.
What difference does it make who owns my debt (a credit card agency or a junk debt collector, for example)?
A junk debt collector that pays a pittance on the debts it buys (two or three cents on the dollar in some instances) is generally more likely to accept a smaller settlement. After all, even 15 cents on the dollar could represent a tidy profit on the debt.
Bradenton Bankruptcy & Debt Defense Lawyer Serving Sarasota and Manatee Counties
David Holland Law can help you effectively address your debt problems. We have helped many clients get back in control of their finances through various types of programs designed to eliminate or reduce debts. Our firm will conduct a thorough review of your finances, and give you reliable advice on how to regain your financial footing. Our Debt Defense Law Firm offers affordable rates and payment plans to accommodate the needs of our clients, and can be relied on to protect your rights and interests when negotiating with creditors and lenders.
Contact us today for informed legal advice if you are looking for alternatives to bankruptcy. We can conduct your free consultation over the phone, in our main office in Bradenton, or by appointment in Sarasota or Venice.