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WALLSTREETESQ
WALLSTREETESQ, Attorney
Category: Bankruptcy Law
Satisfied Customers: 17223
Experience:  14 years exp., CH 7 AND 13 Bankruptcy cases, AFL-CIO UNION PLUS, UFT NYSID AND ALL MAJOR UNIONS
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If I do a settlement with a credit card company, and then Declare

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If I do a settlement with a credit card company, and then Declare bankruptcy, would the settlement be nullified?

WALLSTREETESQ :

Hello I am a licensed attorney here to help you with your question, please review my response and do not hesitate to ask for clarificati on.

WALLSTREETESQ :

The bankruptcy would void the settlement agreement, and you would be able to discharge the debts,

WALLSTREETESQ :

This is a common practice, many people do file bankruptcy after settlement programs do not work out.

Customer:

Thanks. Then that would be better than letting it go into judgement.

WALLSTREETESQ :

It may be, however even if the debt goes into a judgment you can discharge it through bankruptcy,

WALLSTREETESQ :

I would consider not making any payments to these creditors, if you know you will file a bankruptcy later,

WALLSTREETESQ :

this way you save money

Customer:

Which effects your credit the most?

WALLSTREETESQ :

a bankruptcy would hurt your credit the most, but it would also raise it faster, as you have no more balances

Customer:

I mean between a settlement - bankrupcyt or Judgement-bankruptcy. Also, should I worry about answering this summons paragraphs since I know it is going to judgement anyway?

WALLSTREETESQ :

a settlement is best if you can actually pay the program, a judgment and bankruptcy are the same.

WALLSTREETESQ :

You do not have to answer the summons if you will settle or file bankruptcy,

WALLSTREETESQ :

however it is best to file an answer just in case.

Customer:

Thanks for the help!!

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