Article Summary:
Article Content:
“Dear Steve,
I had good credit and was paying my bills on time, then litterally overnight I realized I couldn’t make the payments any more and my cards were maxed out. I joined Credit Solutions, a debt relif group. But now my credit score has drop dramatically and little communication from them makes me wonder if I made the right choice.
Should I cancel my account with them, take over my bills again, and try it myself? What can I do?
Samantha”
Dear Samantha,
It sounds like you’ve enrolled in the Credit Solutions debt settlement program. In that case probably what happened is that payments to your creditors were held so that you fell 90-120 days past due so that you appeared to be delinquent and in trouble with the credit card company.
This will significantly hurt your credit report. At this point bankruptcy is a logical option for you to investigate. And as odd and backwards as it sounds, if you went bankrupt your credit score would probably increase immediately.
I think you need to go and talk over your options for free with a local bankruptcy attorney. And when selecting an attorney to work with, find one that is local and you feel does a good job of communicating with you. Good communication is critical for your peace of mind when working with any debt assistance provider.