Other Debt Relief Options
Federal Tax Debt
Offer-in-Compromise
An Offer-in-Compromise for federal tax debt is somewhat similar to a Chapter 13 bankruptcy. The debt can be reduced to an amount you can afford to pay monthly for one to two years, plus the value of your non-exempt assets, if you have any. This is a fabulous tool to use if you have a tax debt issue, especially since some tax debts aren't dischargeable in bankruptcy!!
See the Asset Protection page for information about exemptions. Note that the exemptions used for Offer in Compromises are similar but different than those used in bankruptcy.
Like bankruptcy, this is a complex and intensely rule-driven process so you need the assistance of an attorney who has been trained in the process.
Debt Settlement
Sometimes bankruptcy just isn't the best option, for a variety of reasons. One alternative is to settle the debt(s) instead.
This is often a good option when there's only one or two problematic debts, particularly if the creditor has filed a lawsuit against you. In that event, and if the debt is valid, I can handle the lawsuit for you and negotiate a settlement agreement with the creditor. You'd be surprised by the reasonable results that can be obtained.
But settlement can still be accomplished even if a lawsuit hasn't yet been filed.
Federal Tax Debt
Offer-in-Compromise
An Offer-in-Compromise for federal tax debt is somewhat similar to a Chapter 13 bankruptcy. The debt can be reduced to an amount you can afford to pay monthly for one to two years, plus the value of your non-exempt assets, if you have any. This is a fabulous tool to use if you have a tax debt issue, especially since some tax debts aren't dischargeable in bankruptcy!!
See the Asset Protection page for information about exemptions. Note that the exemptions used for Offer in Compromises are similar but different than those used in bankruptcy.
Like bankruptcy, this is a complex and intensely rule-driven process so you need the assistance of an attorney who has been trained in the process.
Debt Settlement
Sometimes bankruptcy just isn't the best option, for a variety of reasons. So, one alternative is to settle the debt(s) instead.
This is often a good option when there's only one or two problematic debts, particularly if the creditor has filed a lawsuit against you. In that event, and if the debt is valid, I can handle the lawsuit for you and negotiate a settlement agreement with the creditor. You'd be surprised by the reasonable results that can be obtained.
But settlement can still be accomplished even if a lawsuit hasn't yet been filed.
Student Loans
Unfortunately, student loans cannot be discharged in bankruptcy as of yet, although there is activity on Capitol Hill in that regard so there might be changes in the future. But for now, the only exceptions to that rule are:
Student loans can be discharged when the Debtor has a permanent hardship that results in NEVER being able to pay the debt, such as having a permanent disability. It's a high standard to meet so very few student loans get discharged.
The other exception is if you didn't get what you paid for from the school, such as if the school was fraudulent.
As you can see, discharging student loans is rare, so most loans are non-dischargeable.
But the good news is, there are a variety of other options available. If the debt is old and the last payment you made was years ago, the statute of limitations might be expired at this point, rendering the creditor unable to obtain a judgment against you.
Alternatively, if your debt is significantly delinquent I can help you negotiate a settlement agreement.
Finally, I can help you get a payment reduction on most student loans, or obtain loan forgiveness on certain student loans.
Credit Repair
It's not possible to repair credit that has been reported accurately, so don't be fooled by the pipe-dream that some companies out there are claiming. Most of that is a scam.
However, accurate reporting can sometimes be removed temporarily, so if you need a short-term fix, we might be able to get you some success for that purpose. Additionally, it's absolutely possible to repair inaccurate reporting. Sometimes it's an easy fix, but sometimes it can be very challenging, and everything in between.
Student Loans
Unfortunately, student loans cannot be discharged in bankruptcy as of yet, although there is activity on Capitol Hill in that regard so there might be changes in the future. But for now, the only exceptions to that rule are:
Student loans can be discharged when the Debtor has a permanent hardship that results in NEVER being able to pay the debt, such as having a permanent disability. It's a high standard to meet so very few student loans get discharged.
The other exception is if you didn't get what you paid for from the school, such as if the school was fraudulent.
As you can see, discharging student loans is rare, so most loans are non-dischargeable.
But the good news is, there are a variety of other options available. If the debt is old and the last payment you made was years ago, the statute of limitations might be expired at this point, rendering the creditor unable to obtain a judgment against you.
Alternatively, if your debt is significantly delinquent I can help you negotiate a settlement agreement.
Finally, I can help you get a payment reduction on most student loans, or obtain loan forgiveness on certain student loans.
Credit Repair
It's not possible to repair credit that has been reported accurately, so don't be fooled by the pipe-dream that some companies out there are claiming. Most of that is a scam.
However, accurate reporting can sometimes be removed temporarily, so if you need a short-term fix, we might be able to get you some success for that purpose. Additionally, it's absolutely possible to repair inaccurate reporting. Sometimes it's an easy fix, but sometimes it can be very challenging, and everything in between.
We are Proud to be a Designated Debt Relief Agency under Federal Law and We Provide Legal Assistance to Consumers Seeking Relief Under the Bankruptcy Code.
The information contained herein is for informational purposes only. It is not intended to constitute legal advice or to create an attorney-client relationship. We do not make any recommendations or endorsement as to any legal issue or procedure discussed. The nature of any particular legal issue should be considered on a case-by-case basis, and the information described herein is not necessarily a guide to your individual circumstances. It is advised that you seek independent legal advice to determine your particular legal needs.
Copyright © 2003 by Rambo Law Offices