Getting credit card relief is the main concern of a lot of individuals these days.
Due to financial disequilibrium in the economy, many people are suffering because of the burden of massive credit card debt.
As per the economic survey report, half of the American citizens are suffering due to the burden and pressure of unsecured liabilities.
People, who desperately want credit card relief, lie in the category of public who used this facility extensively.
Before the bang of inflation, people were confident about repaying the amount back to credit card companies but the decline in income rate and increase in joblessness forced them to realize that they have no mean left to pay.
The credit card lenders are not interested in the financial problem of their borrowers at all.
They just want to get their money back from them and for this purpose they put a lot of pressure on them.
These days, two credit card relief methods are getting very popular.
These are bankruptcy and debt settlement.
Both methods are good at their respective places but still debt settlement is getting more popularity than bankruptcy.
Following article will explain that why debt settlement is better than bankruptcy.
Debt settlement is the process in which a person gets quick elimination in the amount of debt.
Bankruptcy also brings fast and speedy reduction in the balances of unsecured liabilities.
The process of settlement is easy as a person does not have to go through many tests and other official procedures.
On the other hand the process of bankruptcy is complicated as an individual has to pass many legal formalities and other official tests.
In debt settlement a person does not have the fear of putting all his valuable assets and other property in danger.
While in case of bankruptcy, all the valuable assets and other precious things are in danger.
Debt settlement brings bad impact on credit report but this impact is only for a short period of time and once the person pays all dues back, he can again use bank facilities easily.
In case of bankruptcy, the negative impact on credit report is for long period of time and the person gets ineligible for using any facility offered by banks for next several years.