West Valley City Debt Settlement Attorneys
When a lender loans you money and you owe payments in return, you are in a relationship with the lender. While each party is looking out for his or her own interests, there is give and take as in any relationship.
Why would a lender be willing to negotiate the debt you owe?
- You may have bankruptcy as an option. Many debts are simply discharged in bankruptcy, and the lender gets nothing.
- There is a chance they will never be paid. Depending on your income, assets, prospects and your ability to become "judgment proof" they might never be paid.
- You may be able to offer them something in a bargain, such as an immediate lump sum. It is a law of finance that money now is always worth more than at a later date.
How it Works
First of all, work with an experienced bankruptcy attorney. A lender's knowledge that an attorney is involved generally makes them more willing to negotiate. They may think that you are an unsophisticated consumer they can take advantage of. But they are less likely to take a bargaining position unfair to you if a knowledgeable lawyer is negotiating for you. They also know that the attorney can counsel you on bankruptcy if negotiation is unsuccessful.
Benefits
The possibilities include reducing the principal balance, agreeing to a payment plan, adjusting payments or lowering the interest rates.
Negotiation of your debts is different from debt consolidation. Debt consolidation requires cooperation of all of your creditors, a difficult if not impossible task. Rather, you begin negotiating with the lender holding your largest debt. Incrementally you improve your position as you move through your creditors.
If you are not qualified to file for Chapter 7 or Chapter 13, debt negotiation may be an effective alternative.
Schedule Your Free Initial Consultation
Justin M. Myers has an accounting background in addition to extensive bankruptcy experience. Attorney Myers handles all cases personally.
Contact our Salt Lake City, Utah, office today to discuss your bankruptcy questions. We are available during regular business hours and by appointment evenings and weekends. You can reach us by phone at 888-811-7784 or via e-mail.
