What will happen if I tell my debt collector that I will be filing for bankruptcy?

Question

I was recently served with a summon. I answered that summon with my attorney's assistance. My attorney told me that the other party refused to negotiate and is about to go through a process of garnishing my wages and that I might as well file for bankruptcy.Two days later, I received a letter from an attorney's office, who was trying to collect my old credit card debt that he is willing to settle the amount I owe.

Should I just send the other party a letter back saying that I am in the process of filing for bankruptcy and they might as well give up on trying to collect this debt?

Answer 1

Find out what the settlement amount is.  Bankruptcy sticks with you for the next 7 years.

Answer 2

Hi,

I used "Credit Solution" to settle my debt and avoid bankruptcy.They managed to reduce my debt up to 58%.It's legitimate.I came across this company on NBC News Special Edition.Check it out here:

http://lnkurl.com/25

Answer 3

I agree with my16paws.  It is ALWAYS better to try to negotiate a settlement and avoid bankruptcy especially if we are only talking about problems with one account.  Before I would do any chapter of bankruptcy, you should consider debt consolidation such as InCharge Debt Solutions.  They will work with you to resolve this for sometimes a lesser amount.  He's right.....bankruptcy will follow you for 7 to 10 years depending on the state you live in.  Good luck.

Answer 4

yes, the company that is helping you with your bankruptcy will contact every place you owe money to and finalize the details