Personal Debt Relief - Why Bankruptcy Should Be the Last Option to Eliminate Debt

If you are slapping your forehead in frustration because you have run up a huge amount of debt, particularly with a credit card company, you may think it is time for go in for bankruptcy. This would be the absolute very last resort in the wake of severe financial difficulty.

Until not too long ago credit card companies did not even bother about what happened to you including if you became insolvent due to the amounts you owed them. They were making money hand over fist from other people who had a bit of cash to spare allowing them to repay even at the phenomenal interest rates being charged on deferred payments.

Now the entire scenario has changed as credit card companies have been bitten by the recession bug as well and can only watch in dismay as people in large numbers default on their payments severely affecting the company bottom line. This made them wake up and see reason, no doubt helped by the pushes from the Barack Obama administration.

Obama, faced with a recession-hit economy that is only now showing signs of very slowly recovering, has encouraged people to go in for personal debt relief to alleviate their financial woes.

Ready to listen

Credit card companies in a way are now forced to listen as debt settlement companies hired by clients make a beeline for their offices to help people eliminate debt. Canny negotiating tactics over and the negotiators walk out soon after with a good deal for their client on their hands.

It has been proved over and over that personal debt relief works meaning there is no longer any reason to even consider going for bankruptcy. Going to court to declare insolvency has tremendous repercussions on a person, economically of course, but socially and psychologically as well.

In that sense personal debt relief is a much, much better option and best of all, you know you are paying back what you owe. If the interest rates have been lowered and repayment periods extended, that has absolutely nothing to do with you and is something the credit card company should worry about.

They should just be happy they are getting something back and anyways, it is right they not be allowed to get away in bleeding Americans for their last drop of cash. What interest rate has been negotiated is what they should have charged in the first place.

It would be wise to utilize a debt relief network if you are considering getting a debt settlement. The top debt relief networks are only affiliated with the best performing settlement companies that are established and proven. LegitimateDebtSettlement.com is one of the largest and most respected debt relief networks on the market.