Today I had a reader ask me if she needed to hire a bankruptcy attorney to pursue negotiated settlements on her credit card debt. I thought it might be helpful for me to post the answer for everyone.
A bankruptcy attorney is not required to call your creditors and discuss a negotiated settlement, however, every person’s financial picture is different and debt settlement is just one option among many. I found that the attorney, if only for a one hour consultation, was very helpful in taking me through all of my options so that I could make the best choice for me. Also, in the settlement process itself, though I did most of the negotiating, I found it helpful to be able to say on the phone that I had a bankruptcy attorney, it seemed to make them take me more seriously, and I did like having someone to look over my settlement agreements since I had never done that before. While The Do-It-Yourself Bailout does give a very detailed picture of what the settlement process looked like from my perspective, I still say there is no substitute for professional advice. Many bankruptcy attorney will consult with you for an hour or two at a very reasonable fee.
