Dealing with debt is definitely not a walk in the park, but what can you do when you can't pay it anymore and the only thing in your future is bankruptcy? Luckily, there's no need to despair, as there have recently been a few solutions created for people with this exact problem, so you can be proactive about your financial trouble.
Recent legislation has established a couple of methods for reducing debt, as there are a lot of people that can't afford to pay all their debt and a large scale bankruptcy would almost certainly create chaos in the economy.
One of these methods is debt settlement and although it has been tried and proven may people still remain in the dark about it and fail to eliminate their debt.
Debt settlement is based on the idea of negotiation between debtor and creditor so that they are both able to get what they want.
By negotiating, you can get your creditor to cut off half of your debt by not making you pay fees, penalties and interest; so that you are left with basically the original sum you borrowed.
You will require the services of a debt negotiation company to take care of all the official negotiation and the legal issues involved with the process, but these are usually easy to find.
The fees for such a service are also affordable and you can pay them as part of your monthly payments so you don't even have to have any extra cost attached.
By settling, you will also have a much lower interest level at which to repay your debt so that you can expect to be debt free in about three years, maybe less depending on your income level.
And if you're worried about your credit score, it's good to know that the effect on it is not permanent; in fact you can build it back up simply by paying your installments on time.
Debt settlement is a viable solution for all those who can no longer handle their debt but who don't want to go though the damaging effects of bankruptcy.