How long will Debt Settlement stay on your credit report? Most likely 7 years after you settle the debt. If all your debts can not be settled now, when will you be finished? 2 Years? 5 years? And then the clock will start. Your credit is trashed now anyway. If you file for bankruptcy, the clock start immediately. Chapter 7 will stay on your credit report for 10 years, but that does not mean you will not be able to get credit during that period. In fact, some people find they receive credit offers a few months after their case is finished. Chapter 13 will stay on you credit report for 7 years from the filing date. You have to decide which path is better for you.

If you have money on hand, that will not hurt your relatives, or yourself too much to settle all your debts in one fell swoop, then it probably makes sense to make the best deal you can, and get it done. But don’t take it from your retirement, or your house. If you are accepting help from relatives, really spend some time considering if they can afford to help you. You are here, don’t drag them down with you. You are very emotional, and they want to help you. Make sure the don’t get hurt in the process. Take responsibility and get out of this mess.

The Tax Man. Debts discharged in a bankruptcy are not taxable, though not all debts are discharged. This is a good thing to discuss with a bankruptcy lawyer. When a creditor „forgives“ part of a debt you owe them, they must report this to the IRS. Depending on your situation, you may owe taxes on this „forgiven“ debt. Please check with your accountant or tax preparer for more information. Taxes are not usually dischargeable in bankruptcy.

We all have attachments to things in our lives. Our possessions and homes are no different. If you have reached this point then some things need to change. You may have to restructure your life. You may have to give up or sell some things. This may include your house. No, it will not be easy. Yes, it will hurt. It will hurt really bad. I know, I have been there. But if you are going to start over, get the best start you can for your family.

Remember, this is not personal to your creditors, it’s just business. And you are not alone. Millions are in the boat with you right now. This is only a brief period in your life, not the summation. You are a number to your creditors. You are a number to be stretched and squeezed as far as they can take you. If you let your creditors make it personal, you lose the advantage. They charge high rates because they plan for losses. You are in circumstances beyond your control. Get the best deal yo can for yourself and your loved ones, move on, and don’t look back.

Do your Homework. In school most of us did not like homework. This is a time you have to tough it out! There are a great many things you need to learn about the different options available to you. Ask yourself first, „Does this company or process have my best interest at heart?“ Or are they only looking to line their pockets, or act as another collector for my creditors? Only you can answer these questions for yourself. But you need to know all the details of all your options!! Talk to a credit counseling agency. Get a free consultation with a Bankruptcy lawyer. Get a package from a debt settlement company. Learn everything you can, and then make an informed decision!

A good thing that can come from this is sharing your experience. You may be surprised at who around you is going through, or has already been through this same thing. Help others by sharing your experience. Learn and Teach money management. Many times things beyond our control bring us to this point. But we can always be better at money management, and everyone needs these skills. This will help you get to the end, by giving you a purpose for your suffering and rough times. Try to help other through these rainy days, and future rainy days.

Are you at the end of your rope? Want to learn from my experience? Visit to learn more. If you are looking for a great bankruptcy attorney please visit Bankruptcy Attorneys.