Alternatives to Bankruptcy

You may have many different options when it comes to obtaining debt relief and avoiding bankruptcy. In some cases, however, bankruptcy is the best or only option to meet a person's specific goals.

Before you file for Chapter 7 or Chapter 13 bankruptcy, you should explore the alternatives to bankruptcy. Below, we list some of the alternatives to bankruptcy that you may be able to choose depending on your personal situation.

Home Loan Modifications
As a homeowner who is facing serious financial hardship, you may be able to get a mortgage modification, work out a payment plan, or restructure the loan. Learn more about qualifying for and obtaining a loan modification by speaking with our firm.

Credit Counseling Programs
You can get help from a credit counseling agency to negotiate with a creditor or collection agency. If you have bad credit, you can meet with a credit counselor who can help you resolve your debt issues.

Credit Card Modifications of the Interest Rate and / or Principal Balance
You may be able to work with your credit card company to adjust the interest rate and / or your principal balance to avoid bankruptcy. Credit card debt is one of the most common reasons that people file for bankruptcy but it can be resolved through modifications.

Voluntary Repossession of Your Residence
If you voluntarily allow the repossession of your residence, you submit the deed in lieu of going through the process of home foreclosure.

Short Sale of Your Residence
In a short sale, both you and the mortgage company agree to have a qualified realtor sell the residence for less than what is owed on the property.

What option should I choose?

When it comes to choosing an option to avoid bankruptcy, some companies promote or advertise their programs to prey on vulnerable debtors who have credit problems. Individuals who fall victim to unethical programs will pay a great amount of money and not see much in terms of results.

You should discuss your options with a knowledgeable attorney from our firm. Call Arnold Law Group, APC today to speak with a bankruptcy attorney in Fresno today.