Does this scenario sound familiar to you? You were contacted by one of those out-of-town debt relief companies, or you contacted them, made the arrangements, and have been making payments for over a year. It seems to be working as no one has been calling you. There are no letters from debtors or lawsuits. You are feeling optimistic that this financial nightmare will be over in a couple of years.
There may not be two more widely misunderstood concepts amongst the general public than the concepts of “bankruptcy” and “debt settlement." However, before weighing the pros and cons of each, it is important to first lay out some parameters for the discussion: