Florida residents suffering under debt do not have to see bankruptcy as their only option. In fact, relief can be as simple as talking to your creditors directly about your situation. Money Crashers explains that there are many lenders who are willing to discuss your debt with you and make adjustments in your favor. You can work out a payment plan that is not so burdensome and takes into account your current financial status. Some lenders will also give you lower interest rates on your payment plans.
Depending on the lender, you might find some kind of hardship program or provision that can help you out. If your mortgage payments are burdensome, check to see if your lender has a loan modification program that you qualify for. If student loans are weighing you down, look for hardship programs that can reduce your payments. You might be able to link your payments to your current income level, or you could briefly suspend your payments with forbearance or deferment.
Additionally, it may be a good idea to tell your lenders that you are considering bankruptcy as an option. Knowing that you might file bankruptcy could give lenders additional incentive to negotiate directly with you since a bankruptcy court can discharge some of your debt. Credit card companies have special reason to be concerned since they tend to lose out the most in bankruptcy cases. They may opt to give you a low interest rate that will not change in exchange for you closing out your card.
Also keep in mind that you do not have to negotiate with your creditors alone. If you have problems coming up with a workable repayment plan, Credit.com suggests that you find a credit counseling agency to assist you. You might also seek consultation from a professional bankruptcy attorney to understand your options and also what creditors are not permitted to do while trying to collect back payments. As you work out your issues with your creditors, you do not need to suffer harassment from creditors who may be overstepping legal bounds to try to collect from you.