Which Type of Debt Help is Right for You?
If, like many folks in Umpqua OR, you're struggling financially, then you may have considered seeking out debt help. Debt help comes in many forms, some of which can truly provide relief and others of which can put you into an even worse financial situation.
First, let's address the scammers. Several companies have come under fire from the Federal Trade Commission for scamming people by promising to lower their credit card debt. This type of debt help is anything but helpful; indeed, consumers paid hundreds or thousands of dollars and received nothing in return.
Some types of debt help you can do by yourself. For example, you can phone your credit card company and negotiate a lower interest rate, or phone other creditors and negotiate payment plans.
If you're being hounded by debt collectors, you may need a different kind of debt help. For example, if a debt collector has violated the federal Fair Debt Collection Practices Act, you can seek the representation of an attorney, and sue the debt collector in court. Legal representation shouldn't cost you anything, and you could receive up to $1,000 for FDCPA violations. If you live in [statetitle], there is likely a state law that also protects your rights.
If a debt collector hasn't crossed the line into illegal behavior, you can negotiate a debt settlement. In other words, you can likely pay a fraction of what you owe and have the slate wiped clean. If you go this route, though, you should make sure to get the agreement in writing before making a payment.
For some folks, the only type of debt help they really need is to file bankruptcy. Although this is a path of last resort, there are many other people in Umpqua OR who have traveled this road. If this is the situation you face, it is in your best interest to consult with a bankruptcy attorney.
Debt help can come from many sources, ranging from attorneys to credit counselors to supportive family members and friends. If you're in a financial quagmire, it's important to reach out and get the debt help you deserve.