Mу boyfriend hаѕ bаd debt, аnd саnnοt deal wіth thе collection agencys abuse. Hе hаѕ bееn given different options frοm different people. I need tο know whats best fοr hіm.
I contacted American Credit Foundation http://www.debtguru.com/ whісh іѕ a non profit credit counciling foundation thаt hаѕ agreed tο mаkе a payment рlаn ѕο hе саn pay back thе 2 creditors hе owed. I figured thіѕ wουld give hіm a chance tο build hіѕ credit back up.
On thе οthеr hand, hіѕ dad іѕ telling hіm tο јυѕt claim bankruptcy. hе tried telling mу boyfriend hе wουld still bе аblе tο рυrсhаѕе a house within a few years.
Whos rіght, whats hіѕ best options.
Tags: counselling, Credit
I would work with the non profit credit counseling. Bankruptcy is a long ordeal and should only be used as a very last resort when even working with a ccc is not a reasonable idea. Usually when you have more than 4 creditors and owe thousands of dollars you know you will never be able to pay off. Bankruptcy effects you for 7 straight years and then still stays on your credit report after that. Buying a home, car or whatever will always be effected, most often in the negative, as will the credit score. We declared because of medical bills and our mortgage application was denied because it had only been 2 years since we declared. Sincere best wishes on getting back on track.
I work directly with a non-profit credit counseling program. All of our Counselors, including myself are certified through NIFCE (National Institute For Financial Counseling and Education). . . it is an incredible program. Also, we work with another company that offers Debt Settlement, Credit Education, and Credit Restoration programs. We have alternatives to Bankruptcy.
If you would like more info, contact me. I would be glad to help. You can also visit my site: www. helpmycreditweb. com
The rules on bankruptcy have changed. Your boyfriend may not even qualify to file. Or he may be required to go Chapter 13 which is the payment plan route.
Bankruptcy will stay on his credit report for 10 years. The credit counseling will only impact his score while going thru it.
It is possible to buy a house a few years after a bankruptcy but you don’t get the best rates and have to have a 2 year on time payment history.
It really depends on how much debt he has. Going thru the credit counseling and learning to budget and pay bills would certainly be better to learn good financial management. .