If you, and your family, are battling over a huge debt load, it can overshadow all other financial priorities in your life and make you, and your family, miserable. There is good news though in that there are many valid and legal Oklahoma debt settlement programs that can provide tangible help in overcoming your overwhelming debt.
You are not alone; this problem is of global proportions and the COVID-19 pandemic has made it even worse. Due to their current economic condition, many families are searching for ways to decrease, eliminate or mitigate their debt.
You may already have been contacted by “debt relief” companies making promises of eliminating your debt. Remember, “if it’s too good to be true, it probably is”! These “debt settlement companies” hardly ever deliver on their promises regarding your debt, but they do take your money. Unfortunately, many debt settlement companies are a scam, and any debt relief company that charges you before they help settle or reduce your debt is in direct violation of the Federal Trade Commission.
The usual standard rule is that if you have at least $7,500 and up to $100,000 (and sometimes more) in unsecured debt resulting from credit card use, personal loans or lines of credit, medical bills, business debts, or private student loan debt you would most likely qualify.
There are also definite warning signs that indicate your debt might be building to a financial crisis that could harm you, and your family, for years to come.
These “warning signs” include, but are not limited to:
- You’re making minimum payments on all, or most, of your balances.
- Even your minimum monthly payments are too large for you to handle.
- You’re getting calls and letters from debt collectors.
- You’re using balance transfers and other forms of “high interest” refinancing to just stay afloat.
- You’re relying on cash advances.
- You’re being denied new credit cards or loans.
- Your savings are not increasing or being depleted.
- You’re unaware of the seriousness of your debt problem.
- You’re getting “over-limit” warnings or being declined at the point of sale.
- Your debt issues are affecting your mental health and your relationship with your family and others.
If you’re even considering debt settlement, then probably 2 or even more of the above financial “warning signs” are valid for you. Get the professional help you need and consult with an Oklahoma City debt settlement lawyer to thoroughly discuss the details, and move forward to help solve or mitigate your financial troubles.
What Are Some Legal Debt Settlement Programs that May Help?
Remember that no two individuals or family’s finances are the same, so neither is yours. So, a real debt relief program that works for you, needs to be “tailored made” to give you the best possible results.
Some examples of the types of programs that can help are:
- Debt consolidation – These allow you to make one payment, that you, and your debt settlement lawyer, can budget to fit your current needs.
- Debt management plans – You and your lawyer manage and organize your finances to develop a debt payoff plan that you (and your creditors) find acceptable.
- Balance credit cards – This works only if a large chunk of your debt is made up of credit card debt, then balance transfer could be the answer to your problem.
- Bankruptcy – This may be what you are trying to avoid but might have to be in the discussion.
Debt settlement may not always be the right answer, and bankruptcy may be your best option. It will not only eliminate your debt but allow you to start over with a clean financial slate.
Therefore, you must discuss all your options with your debt settlement lawyer, so you can decide on the best program that provides the correct financial relief for you and your family.
Is There a Minimum for Filing Bankruptcy, and What Should I Consider?
There usually is no minimum debt for filing bankruptcy, but the amount you are going to file for most certainly may affect the outcome. In most states, however, there is a maximum amount. Commonly you can’t have more than $1,250,000 in secured debt (which includes your home, automobile, boats, or motorhomes) or around $420,000 in unsecured debt (usually credit cards, medical bills, or personal loans). How the amount affects your filing will be a discussion for you and your Oklahoma bankruptcy lawyer.
One of the first things to consider is whether filing bankruptcy is really in your best financial interests.
Some of the details you should consider are:
- Are you able to repay your debts with restructuring and stay away from filing bankruptcy?
- Are your creditors willing to negotiate and work with you?
- Are you able to discharge (or wipe out) many of your debts completely?
- The exact, unvarnished details of your financial situation.
Your Oklahoma City bankruptcy lawyer will help you go over all the details of your case and guide you in deciding the type of bankruptcy you should file. You need to retain bankruptcy attorneys helping clients obtain financial freedom.
Why is Consulting and Hiring a Debt Settlement Lawyer a Good Idea?
If you are in dire need of settling your debts or are unsure about whether negotiating settlements is appropriate, a professional, skilled debt settlement lawyer can provide you with practical legal advice after fully analyzing your situation.
Debt settlement attorneys have negotiation skills they have developed over years of law school, and many years of practical, hands-on, experience. They also have extensive knowledge about debt collection laws and procedures.
Your lawyer can also help you if a creditor files a lawsuit or forecloses on your property.
I Do Feel I Need Help with My Overwhelming Debt, What Should I Do First?
Do your best to gather all the financial information you have and consult with an Oklahoma City debt settlement law firm. The local firm of Mitchell & Hammond has helped a myriad of clients to improve their situation. Meet with them soon, and start down the road to a better financial future.