Alternatives to Bankruptcy Bankruptcy relief is always a last resort. Before anyone determines that bankruptcy may be the most realistic solution, there are a number of alternatives available for consumers to consider: 1. Contact your creditors to discuss any options available directly with their company. Communicating with your creditors about your situation is key to resolving debt problems without professional help. Some creditors are willing to allow you to defer a monthly payment to the end of an installment contract. Some are willing to accept interest only for a limited time. Recently, some are even willing to reduce interest rates and actually reduce mortgage payments. 2. Consult the assistance of any of numerous credit counseling services. Some local such services are listed in the Links at the home page of this website. Green Path Credit Counseling is located in the same building Attorney Lipscomb occupies in Battle Creek. 3. Some people find a solution in borrowing funds by refinancing an existing mortgage or obtaining a second mortgage if you own real estate. Such transactions are typically costly and can have long-term consequences. You may want to consult an attorney before you enter into such long-term solutions to determine whether such a solution is appropriate to your financial circumstances and long-term goals. 4. If you have few creditors, but are unable to pay them as they demand, AND if you have any ability to make lump sum payment offers, many creditors will consider debt settlement proposals, where you make a discounted negotiated settlement. This usually results in a charge-off on your credit report All of the above alternatives to debt relief have advantages, disadvantages and consequences that an attorney can explain to you. If the above solutions have been explored, or simply do not apply to your circumstances, or if you are dealing with immediate problems that cannot be solved over lengthy discussions, you may determine that you have to explore solutions you may have in bankruptcy.