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Bankruptcy vs. Debt Consolidation

Chapter 7 Bankruptcy Attorneys in the Denver Area

People who are in financial turmoil often resort to desperate measures. This can include turning to a debt consolidation company or agency. Many of these companies may offer to solve all of your financial problems but then ultimately fail to deliver. You don’t have to resort to such measures. You deserve honest answers. Consider bankruptcy as your solution. There are many advantages of filing for bankruptcy over debt consolidation companies.

Realistic and Honest Expectations

At The Law Office of W. Robert Montgomery, we are here to give you practical and honest legal advice. We want you to be informed about your situation and have knowledgeable expectations about the future. Telling you that all your problems will be solved is somewhat unrealistic and is not fair to you. With more than 45 years of combined experience, we will do everything we can to help you get back to financial security. At the same time we are straightforward in our relationships with clients and hardworking in getting the job done.

To discuss how you can overcome debt with our Chapter 7 bankruptcy attorneys serving Denver in a free initial consultation, contact our law office at 720-496-1338.

Why Bankruptcy Over Debt Consolidation?

Unlike debt consolidation, Chapter 7 bankruptcy can completely eliminate liability to pay all dischargeable debt. In debt consolidation, you still end up paying creditors at least something. Chapter 13 bankruptcy is preferable to this because you are allowed to enter a payment plan you negotiated for and the actual debt does not increase. However, with debt consolidation, creditors can continue to add late charges and interest. In addition, Chapter 13 is normally limited to a three- to five-year term, but a debt consolidation repayment plan can be stretched out for years longer.

Debt consolidators rely almost solely on negotiations with creditors. Deals can fall through and there is less stability. Furthermore, if an agreement is eventually made, not all of the creditors are required to participate in the debt consolidation. This is because it is completely voluntary. Under Chapter 13 bankruptcy, creditors are required to be part of the repayment plan.

Contact Us for a Free Initial Consultation

These are just some of the advantages of bankruptcy vs. debt consolidation.

For more information or to schedule a free initial consultation with our debt discharge lawyers in Colorado, please call today at 720-496-1338 or fill out the contact form on this page. Our law office is conveniently located in Lakewood in the Western Denver metro area.

We are a debt relief agency. Our lawyers help people file for bankruptcy relief under the U.S. Bankruptcy Code.