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Like most users you too are struggling to keep your head above water. You are down with credit card debt and are desperately looking for debt relief. Debt settlement is one of the most popular forms of debt relief. Debt Settlement could help you out and prevent you from filing for bankruptcy. As a credit card user who has been mauled by debt you need to know the basic difference between the two and which is better.Bankruptcy is the option that you should resort to when nothing else comes to your rescue. It is true that you need not pay back most of your debt. Bankruptcy is a legal procedure that gives a person a chance to restart yet again. It can be filed under two chapters, chapter 7 and chapter 13. Chapter 7 is an option given to people who have absolutely no chance of paying back their debt.It is also called a straight bankruptcy. The court will appoint an official to take over all your assets except exempt property. You are required to file a list of all your creditors. The court trustee then converts all your assets into cash and payments are made to the creditors. This is also called a straight bankruptcy.Under chapter 13 only those people who are willing to pay off all their debts within three to five years are enrolled. The option is offered only to people with some kind of regular income. Now talk of Debt Settlement. By the way, both types of bankruptcy will create a huge hole in your credit score.Debt settlement is a legal way of eliminating 60 percent of your debt. The credit card company negotiates with you to do so. You then have to pay the balance of amount. So in any case it is better to have 60 percent of your debt being written off rather than filing for bankruptcy.There has really never been a more advantageous time for consumers to try and eliminate unsecured debt. Creditors are very concerned about collecting and most have government money to make eliminating some of your debt financially feasible.Check out the link below to locate legitimate debt relief companies in your area:Free Debt Advice(http://www.DebtSettlementAdvisors.org) Article Tags: Debt Settlement, Unsecured Debt, Credit Card, Debt Relief

Debt,Settlement,Avoid,Filing,F

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