Many Michigan consumers with heavy debt wish to avoid bankruptcy if possible. This is understandable because bankruptcy, while potentially offering a fresh start, is a challenging ordeal for most consumers. Luckily, depending on the size of their debt, some consumers in Michigan can find debt relief in one of several alternatives to bankruptcy. Of course, every debt situation is different. So, indebted Michiganders should carefully research their options before deciding which debt relief plan best suits their needs.
Five Ways for Michigan Consumers to Achieve Debt Relief that Don’t Involve Filing for Bankruptcy
If you have seemingly insurmountable debt, you should commit to a repayment plan. Unfortunately, for some indebted consumers in Michigan, bankruptcy is the only solution that makes sense. Yet, others may have alternative options. It is at least worth your time to look into debt relief plans that might allow you to avoid declaring bankruptcy.
Sell off unnecessary assets.
Consumers who live in parts of Michigan with easily accessible public transportation can sell their cars to pay off debt. Or, if you have extra furniture or unwanted collectable items just gathering dust in storage, you may want to turn these items into cash as well.
Take out a personal loan.
If you have good or excellent credit, you most likely qualify for a personal loan that comes with a competitive interest rate. So, Michigan consumers who primarily suffer from credit card debt may come out ahead by paying off their balances with a personal loan with a lower interest rate. This way, you save money on interest charges, and only have one bill to pay every month instead of several.
Take on a part-time job.
These days, a lot of Michigan residents have extra jobs or “side hustles.” They may wait tables on the side or work in retail part-time. Or, if you’re interested in freelance writing or technical support, you can do these jobs from home. Whatever you do, the additional income will bring debt relief faster, and you may discover that you actually enjoy your side hustle.
Commit to a debt management program.
The good thing about debt management program is that you don’t have to have a good credit score to participate. In fact, these programs are available to Michigan consumers with all credit types. Just make sure you work with a reputable, non-profit company. Unfortunately, scammers frequently operate in the guise of credit counselors, so spend some time researching your options before signing up.
Negotiate with your creditors.
Finally, before filing for bankruptcy, indebted Michigan consumers should attempt negotiation with their creditors. Often, they will accept less than what you actually owe in order to deter you from declaring bankruptcy. Frequently, when consumers file for Chapter 7 bankruptcy, debts are discharged, and creditors get paid little or nothing for outstanding balances. If debt settlement is the right option for you, you can either handle the process yourself or go to a debt settlement company. Again, as with debt management programs, make sure that you work with a reputable company. Fraudsters and scammers are also known to pose as debt settlement professionals.
Why All Michigan Consumers Should Check their Credit Reports After Achieving Debt Relief
After getting your debt under control, you should check your credit reports from all three major credit bureaus. This is especially true for consumers in Michigan who complete bankruptcy filings. Unfortunately, creditors and the credit bureaus often make mistakes with consumer information, and these mistakes lead to credit report errors that damage credit scores. Therefore, while you’re getting your credit back on track, you should make sure that inaccuracies on your credit reports are not undoing all of your hard work.
Luckily, the Fair and Accurate Credit Transactions Act (FACTA), entitles you to free annual credit reports from TransUnion, Equifax, and Experian. Just go to www.annualcreditreport.com to get all three credit reports from one secure and federally authorized website.
Then, while reviewing your credit reports, if you see that mistakes and errors have brought down your credit score, contact Credit Repair Lawyers of America in Michigan. Instead of handling the dispute process on your own, let our credit pros do all of the work for you. When you call our firm, you’ll also gain access to an experienced credit attorney who will do whatever it takes to get you clean credit reports for FREE.
The Free and Legal way to Get Better Credit in Michigan
Don’t let errors on your credit reports bring your credit score down. At Credit Repair Lawyers of America in Michigan, we’ve been cleaning up credit reports for consumers since 2008 for free. How do we do it? All of our fees come from the defendants in cases that are settled. This is why our clients pay nothing for the work we do.
Let’s start the conversation about what we can do for your credit. Set up your free consultation today by calling Attorney Gary Nitzkin at (248) 353-2882 or contact us on our contact page.
For more information about Free Credit Repair, please visit https://creditrepairlawyersam.com/michigan/credit-repair/.