Re: NEED ADVICE! Negotiate Settlements vs Bankruptcy

Posted by SunkissedBeach (67.69.201.164) on January 25, 2004 at 23:58:41:

In Reply to: NEED ADVICE! Negotiate Settlements vs Bankruptcy posted by sara319 on January 25, 2004 at 20:28:42:

Over the next few years the charge offs will matter less and less to your scores. If you file a BK you will hurt yourself immensely. Not only will the BK be reported on your credit for the next ten years, you will always have to disclose this information to the lender when applying for a mortgage.
Once you have made your settlements try to start to rebuild good credit on a couple of secured cards. With a perfect repayment history and absolutely no lates you will be much further ahead.
Learn to use credit wisely to your advantage instead of the lenders advantage. Making small purchases and paying them IN FULL each and every month is the answer to have good credit scores. Over the next three years your scores will be much better.

In my opinion 15,000 is not enough debt to even consider filing BK, most people finance cars for much more than that. To simply say that it will only cost you 1,000 is not wise. It may cost you more to settle but in the long run you will not have the stigma of the bankruptcy for the rest of your life.
Best of luck.

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