Filing for bankruptcy may not be the right step for everyone.  Each person has his or her own unique financial circumstances that require different plans for managing and eliminating debt.  Furthermore, whether or not you choose to file for bankruptcy is often dependent upon your income. This is because if you have a steady income, you may be able to manage your debt.  There are a variety of ways in which you can manage your debt outside of the bankruptcy process.  No matter what method you use its important to understand the process of eliminating your debt. Also take the time to appreciate the consequences of what method you choose to eliminate your debt.  The Federal Trade Commission offers suggestions that have helped numerous people manage their debt without bankruptcy. If you have questions regarding filing bankruptcy or alternatives to bankruptcy feel free to call.

Alternative to Bankruptcy: Debt Settlement

An alternative to bankruptcy in Oklahoma is to contact your creditors directly. By doing you’re asking if they would lower your balances in exchange for a payoff.   This particular amount, if paid in full, may be less than the total account balance. This is beneficial when credit accounts have a significant amount of interest attached to them.  Settling your debt allows you to eliminate as much debt as possible. This can be done in an efficient way without harming your ability to pay for everyday living expenses. Many people communicate directly with their creditors to negotiate a settlement of your unpaid debt.  However, some people retain the assistance of a debt-management and bankruptcy attorney who can communicate on your behalf to ensure you are reaching a fair settlement of your debt and not being taken advantage of.

Alternative to Bankruptcy: Debt Managemet Programs

 Another possible alternative to bankruptcy in Oklahoma is if you have a substantial amount of credit card debt, there are debt-management programs available that will consolidate all of your credit card debt so that you are making one monthly payment that will then be distributed among all of your credit card accounts.  There are many legitimate debt-management agencies; however, there are also some to be weary of.  Agencies that are not-for-profit tend to be more trustworthy and less likely to take advantage of you.

By enrolling in a debt-management program, you’ll be making a monthly payment to the agency. The agency in turn makes individual payments to your creditors.  The agency, in addition, tries to negotiate with your creditors. This involves attempting to lower interest rates and monthly payments. Also, they are trying to negotiate a debt reduction.  The cost for enrolling in a debt-management program is typically a monthly fee in addition to an initial enrollment fee.

There are some debt-management programs that offer a loan meant for paying off the credit card debt. In exchange for the loan you now make payments to them.  For some people this may seem like a good option. But like anything else its always important to the cost of this loan. Regardless of what type of debt-management program you enroll in, you’ll have to close your credit card accounts.  There are some creditors that will not participate in the program, but most creditors will.  Individuals are usually able to keep one credit card account open, with the intent that it is to be used for emergency purposes only.  By closing the majority, or all, of your credit card accounts, you are actively eliminating your credit card debt at a relatively quick pace.

Other Alternatives

A final alternatives to bankruptcy in Oklahoma is if you don’t wish to seek settlement of your debt, you can simply change the way you spend your money. Lower your debt by spending less. Sometimes this isn’t possible but should be a consideration.  Further, if you have unpaid medical bills, you can typically set up a payment plan with your health care provider.  These other methods of debt-management and elimination are useful in situations where an individual’s debt is not enormous.  It’s always best to consider the most conservative options first, and a qualified debt-management and bankruptcy attorney can thoroughly explain the debt-management process and why some alternative methods of debt-management and elimination may work best for your particular situation.

Tulsa Attorneys & Alternatives To Bankruptcy:

We offer our bankruptcy clients in the Oklahoma area a Free consultation regarding bankruptcy law or other alternatives to bankruptcy in Oklahoma. Our Bankruptcy lawyers are in Tulsa and will meet with you within hours. Call Today for Free Bankruptcy Information. 918-739-8984