Legal Question in Bankruptcy in Nevada

If you loan modification is complete, then you could think about BK. If you have $40,000 in debt, you may be able to settle for about $15,000. If you do a BK, you should do a joint petition because if your husband's debt benefited the community, then the creditor could go after you. The BK should not affect your property and since you have no equity, the debt adjustment will not. You may have income tax implications from the debt settlement. If you have any questions, you may email me at [email protected]

At absolute best, a debt settlement company will leave you with a credit report full of negatives (because you will go months, if not more than a year, without paying the credit cards), perhaps one or two settled accounts (which report as "settled for less than full balance"- which is a negative) a 1099 form requiring you to pay taxes on the forgiven portion of the debt and a really bad taste in your mouth. Or in other words, your credit will take just as big of a hit as if you filed bankruptcy but you will have paid thousands of dollars.

Bankruptcy on the other hand will allow you to have a fresh start, the same result you have achieved through your loan modification. In almost every case, you get to keep all of your property, including your house and car but eliminate your debt. If you have any questions please email me at [email protected] or call me at (702)869-8801.

Thanks