Bankruptcy Vs. Other Debt Relief Options In Tennessee

With the recent downturn in the economy, millions of people have found themselves struggling with significant debt problems. As a result, recent years have seen a significant rise in alternative debt services, including debt settlement services and consumer counseling services.

While such services may prove beneficial for some individuals, bankruptcy is often a superior solution for individuals facing significant debt problems. I am attorney Steven F. Bilsky, and I offer a free consultation to help you learn more about bankruptcy. To schedule your consultation, contact my law office in Memphis, Tennessee.

The Advantages Of Bankruptcy

The commercials you have seen on television for debt settlement companies do not necessarily tell the entire story. Debt settlement agreements have a number of potential disadvantages:

  • Debt that is forgiven through a debt settlement agreement may have tax implications. You may even be required to pay taxes on the amount of debt that has been forgiven.
  • Debt settlement agreements may not reduce your debts by nearly the same amount as a Chapter 7 or 13 bankruptcy.
  • Debt settlement agreements do not offer the benefit of the automatic stay (see below).

Likewise, credit counseling services may pale in comparison to the benefits of a Chapter 7 or Chapter 13 bankruptcy. Consider the benefits of bankruptcy:

  • Chapter 7 bankruptcy results in a discharge of most debts, including credit card bills, medical bills and most other consumer debts.
  • Chapter 13 bankruptcy creates a debt repayment plan. You are only required to pay what you can afford to pay. Any amount of your unsecured debt that you show you are unable to pay, and which are dischargeable under the U.S. Bankruptcy Code, may be discharged upon completion of your Chapter 13 plan.
  • You are not required to pay taxes on debts that are discharged with a Chapter 7 or 13 bankruptcy.
  • When you file for Chapter 7 or 13 bankruptcy, an automatic stay order will go into effect, which will temporarily halt most creditors from taking any further collection activity against you. The automatic stay may help you to avoid home foreclosure, stop a wage garnishment, put a halt to a lawsuit and gain other relief from creditor collection efforts.

Put My Experience To Work For You

You can rely on me for the skilled, experienced and highly personalized representation you require. I have been practicing in bankruptcy law for more than 30 years. I have helped thousands of clients obtain debt relief. I care about my clients and work hard to make a positive difference in their lives.

As a solo practitioner, I work closely with my clients, take time to understand their financial circumstances and tailor a debt relief strategy that is designed to address their particular needs. As a client of my firm, you will have a strong advocate on your side.

Contact A Memphis Debt Relief Lawyer

You do not have to face your debt problems alone. I am here to help. I serve clients throughout the Memphis metropolitan area. To schedule a free consultation with a Memphis bankruptcy attorney, contact my law office at 901-236-0572 or 888-336-3691. You may also contact my office by email.

The Law Office of Steven F. Bilsky is a debt relief agency that helps people file for bankruptcy relief under the Bankruptcy Code.