Not many people know about a government sponsored debt consolidation plan available to most Americans. If people who are now laboring through traditional debt consolidation plans knew about this government sponsored debt consolidation plan, they would cry tears of joy and here is why.
You see, in traditional debt consolidation plans, creditors are not bound by what your plan with their debt maybe. Nope, they can sue you and garnish you if their sliver of your payment is so small they would rather garnish your wages and take more. Do these debt consolidation companies tell you this? Nope. Instead, many of them front end their fees so that if you do fail. Guess who still gets paid?
Instead, in the government sponsored plan, creditors are BOUND by the terms of the confirmed plan. Creditor cannot garnish your wages, levy your bank accounts, or try and collect on these debts while you are in the plan.
What does a government sponsored plan look like? Say you have 50k in credit card debt. You set up this government sponsored plan to pay $200.00 a month for 36 months--- so a total of $7,200.00. You say, what happens to the balance of $42,800.00 unpaid debt at the end of the 36 months? $42,800.00 gets wiped out, tax free, forever! So I ask you this—why would anyone do traditional debt consolidation (where you are likely to pay the debt in full or close to it) when you have this government sponsored plan? I wonder myself. It may have to do with the fact that this government sponsored plan is called a Chapter 13 Bankruptcy. Big deal!?
CONCLUSION
When the time is right, or when you are ready, reach out to Minnesota’s LARGEST bankruptcy law firm at www.kainscott.com. You will be so glad you did!
