Boston Bankruptcy Lawyers
306 Dartmouth Street
Boston, MA 02116
~and~
270 Broadway
Revere, MA 02151
~and~
1 Adams Place
Quincy, MA 02169
Phone: (617) 716-0282
Email:
attorney@bkmass.com
 Experienced, Effective, and Affordable Consumer and
Business Bankruptcy Lawyers in Massachusetts
Main Office two blocks from MBTA Copley Stop in
Boston's Back Bay.
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Non-Bankruptcy Alternatives in Massachusetts
The truth is that many people spin their wheels and waste a lot of time and money
pursuing non-bankruptcy alternatives. Bankruptcy sometimes is the only real way
to fix debt problems. However, bankruptcy alternatives do exist and can
sometimes legitimately help people. What you're going to get on this page
is the unvarnished truth, which should be somewhat refreshing due to truly
astounding amount of misinformation on this topic.
Debt Settlement Services:
These go by various different names and are usually a really bad idea. But
they continue to be popular. Just watch daytime TV sometime if you want
evidence of this. The standard approach is for you to make monthly
payments to the debt settlement company. They then take fees and "save"
your money so that you can later settle debts with creditors in lump sums.
It is a forced savings plan. They
also usually send frivolous dispute letters to the credit reporting agencies
and, playing off your ignorance on the matter, promise that all your problems
will be solved.
Your problems won't be solved.
However, there is good news! You can settle your debts on your own. Just
save money and make offers to the debt holders. If you reach a deal, get a
full release of the debt in writing and plan for the tax issue. What is
the tax issue? If a portion of your debt is forgiven, that portion is taxable.
A 1099 will issue to the IRS and you will have to pay taxes on the forgiven
amount or claim an exemption. Exemptions exist, including the
insolvency exemption, which you may or may not qualify for.
If you want to settle your debts on your own, consider coming in for a debt
consultation (fee=$200) to get more individualize information on the subject.
We also settle debts for some clients. If you are interested in this, you
can discuss it with us at you debt consultation.
Email us
if you want to set one up. We know how to propose settlements that
change the credit reporting of a debt. In order to do this you need in
depth knowledge of the METRO II credit reporting system.
Credit Repair Services
We do not do this. Any company charging you for this is scamming you.
If there is an inaccuracy on your credit report, you can remove it yourself with
a letter to the credit reporting agencies.
Short Sales:If you cannot afford to pay your mortgage, you owe more than
your home is worth, and just want out, this may be your option. Currently,
there is a tax exemption for debt forgiveness arising out of the short sale of
your home. You may try this on your own with an experienced real estate
agent.
Loan Modification:
One of the bits of good news these days is that loan modifications are more and
more possible. Reducing your mortgage payment amount might help your cash
flow enough to allow you to pay your debts without bankruptcy. People can
usually do these on their own. The downside is that it takes a lot of time
and are uncertain in outcome. Personally, I haven't seen people benefit a
great deal from hiring someone to do this for them.
If you want an hour to get some advise before embarking on your chosen strategy,
feel free to
email us
to set up a debt consultation.
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