Despite its negative reputation, filing for bankruptcy can be extremely helpful for those struggling with serious debt. If youâ€™re having financial troubles, here are a few signs that bankruptcy may be the best solution.
Every day, people across the U.S. are bombarded with messages about how to repay debt. In this article we will discuss some of the reasons these options may be,â€ too good to be true.â€
The idea is great, ask a debt collector for proof you owe a debt and if they cannot produce it, you do not have to pay. However, the reality of using this tactic may yield very different results.
Some of you might be rejoicing a bit because of news that the chief credit scoring outfit, FICO, is changing its rules about how it scores debtors. The main change is that the new system will draw a distinction between medical debt and regular debt. The other big change is the new system will disregard medical collection accounts if they are paid or settled.
Last week, FICO, the nation's top credit score provider, announced upcoming changes to the way some debts impact your credit score. This could be good news for thousands of people, if lenders adopt this new model.
For years many financial experts have been warning against using â€œdebt settlementâ€ strategies to battle high credit card debts. According to a June 2014 report from the Center for Responsible Lending, despite changes in federal and state laws, the warnings will continue.