Fred (Guest) - The creditors are reluctant towards the debt settlement on the first on-sight of it, but when they are convinced of the fact that the debtor cannot pay his full amount by any means, as he is heading for bankruptcy, they are get ready for it.

FreeFromCreditors.com (Guest) - It is also a good option to explore alternatives to bankruptcy, debt settlement, debt consolidation, ect.,  by finding out what it would take to make yourself judgment proof.  Being judgment proof makes it so you don't have to payback any creditor a penny unless you want to.

The term judgment proof is most commonly used in tort law contexts to refer to defendants or potential defendants who are financially insolvent. Even if a plaintiff were to secure a legal judgment  against an insolvent defendant, the defendant's lack of funds would make the satisfaction of that judgment difficult, if not impossible, to secure. In such cases plaintiffs might move for wage garnishment based on the judgment. However, if the debtor is retired or collecting Social security or other social welfare this is not possible, there are also other ways debtors can protect non-exempt wages from garnishment

Judgment proof is not an official defense. If sued, the defendant does not claim "judgment proof" the same way they would claim assumption of risk or contributory negligence; rather, judgment proof kicks in after the judgment has been rendered, and it is time to collect.

Once you are judgment proof creditors can sit around and cry all they want and still collect nothing. After enough time has expired you can offer your creditor pennies on the dollar. Eventually the creditors will decide that it is better to take the pennies then to sit and receive nothing.

Elvin (Guest) - If you find out an expert who deals in debt negotiation, he can actually save you from falling into a bad situation, but if you fall into the trap of a fraudulent person or agency, they can make the situations even worse than  ever.

Debt Settlement Attorney

Debt Settlement (Guest) - Very Informative Article. Great Job by the author.

Jennifer (Guest) - Yes he is a moron. what good is it if he posts the information we want to read in a different article? Where is that article?

And yes the credit card companies should be happy if they get any money out of the consumers who are unable to pay! 50% of what we owe them is outrageous interest and fees.

Some creditors are jerks and wont work with me at all, while others have set up great payment plans and helped me out considerably. guess who I paid off and who i didnt??

for those of us who havent paid our debts in months or years due to the economy, it doesnt really matter to us if we ever pay it, so the waiting game doesnt work anymore.

BE CAREFUL!

Antoine (Guest) - ****This guy is an obvious moron.  This guy is just writing this for HIS benefit to discourage people from settling a lower amount.  SCREW THIS IDIOT!!  People should know the truth, and that is that most collection agencies WILL accept (if you are polite and sincere) 20% of what the original amount was/is.  Let them know you are in a major financial crises and that you intend to do good on your part to pay what you have.  (If possible, furnishing a copy of your taxes from your accountant to show that you made nothing that year, would definitely help)
How do I know this??  Cause I just did this with 9 different collection agencies.....
p.s. - I hope my past mistakes and recent new found knowledge helps 

- good blog, & helpful

- nice post on negotiate dedt settlement....informative

- nice article.....

angelofron - Good Work! Nice article!

srikantuts - Good article!

chucktaylor - Great Idea! Thank you!

rofizarkasih - Thanks for sharing. A good article about negotiating a debt settlement. Furthermore, it based on the former bill collector point of view.

- That was very helpful. As much as possiible I try to understand the shoes bill collectors are wearing. They are just doing their job. Doing their job to earn a living. But sometimes, a few debt collectors goes way above the limit to the point of harrassing their clients. Thanks for getting a first view account from a former bill collector.