Debt Settlement Compared to Bankruptcy

The following chart illustrates a comparison between Debt Settlement and bankruptcy:

Debt Settlement



  • No upfront fees
  • No attorney fees
  • We represent you not the credit card companies
  • Reduces all balances owed
  • Increases creditworthiness as the debts get paid off
  • Dramatically increases your Debt-to-Income ratio (DTI) so that you can use the higher FICO score that you will achieve by completing the program
  • You get out of debt with dignity

Chapter 7

  • You are required to be assessed by Consumer Credit Counseling agency.
  • If the agency declines you for eligibility for their program, then—and only– then you can go to a lawyer.
  • Most people do not qualify for Chapter 7 which is a complete discharge of your debt.  If you qualify for this type of bankruptcy this is a good option for you. Have in mind that the process may take 1-2 years and that it will have negative remarks in your credit report. It takes at least 10 years to be removed from the credit card report.

Chapter 13


  • You will be repaying a substantial portion of your debt via the Trustee of the Bankruptcy Court normally over a 3 to 5 year period.
  • You will have ongoing attorney fees.
  • The bankruptcy reference on your credit report will be for 10 years after the debt is discharged.

Therefore, you will have a 15 year blemish on your credit report, you repaid the debt, and you have paid attorney fees.

Call us toll-free at (844) 421-3555 our enrollment consultants are ready to answer your questions about debt settlement and how we can help you resolve your debt in half the time for half the money. You will regain your financial integrity with dignity.