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1. How to Avoid Bankruptcy
by Debtcare

2. Introduction
Non-stop harassment from collection agencies, sleepless nights
– thinking about how you’re going to get out of this financial
mess –, does this situation sound familiar?
If you’re deep in debt and can’t see a way out, you might be
thinking about filing for bankruptcy. However, before you rush
and make a potentially huge mistake, let us show you that other
options await you.

3. Why Not Bankruptcy?
First of all, why might bankruptcy not be
the best solution for you?
•It will destroy your credit history
•No more running a business for you
•It’s an admission of defeat
•It will most likely force you to sell all your assets

4. Rework Your Budget
On a purely mathematical level, financial trouble stems from
bad money management or, in other words, from spending
more than you earn.
So, one of the easiest ways to slowly get back on your feet is to
analyze your montly expenditure and see where you could free
up some cash to start paying up some of that debt.

5. Payment Plans
Once you’ve reworked your budget and have access to some
money, call your creditors to explain your situation and ask if it
wouldn’t be possible to work out a payment plan.
Two factors will play in your favor here:
1) By taking this step, you’re showing your
creditor your goodwilI
2) If they learn that you’re close to filing for
bankruptcy, they might prefer to get their
money slowly but surely rather than never

6. Borrow & Sell
In your quest to avoid bankruptcy, you have to understand that
any means to free up some cash and accomplish that goal is
worth pursuing.
That’s why you have to think about selling some of your assets
like your property… before the banks take the matter in their own
hands and leave you no choice.
Also, don’t be afraid to ask family and friends for
some help. Even if it’s not easy and degrading,
it’s still better than the aftermath of bankruptcy

7. Consolidate Debt
Debt consolidation works like this: you take
one big loan to repay all the others that are
hanging. But if you still have to pay the same
amount, what’s the benefit to it?
Simply put, debt consolidation can help you lower your interest
rates, especially if you have credit card debt. Another pro of this
option is that you may even benefit from a
discount because the debt consolidator will be
able to negotiate the loans when he buys them
back.

8. Conclusion
When the skies are grey, you might be tempted to think that they
will stay like this forever. However, you have the power to
regain the control over your financial life.
Whether it be through debt consolidation or an agreement with
your debtors, try and see how you can use the information we
just shared with you and finally get yourself out of debt!

9. Need some debt relief? Visit us for advice
at: http://www.debtcare.ca/

10. Need some debt relief? Visit us for advice
at: http://www.debtcare.ca/