which is worse for credit, bankruptcy or debit negotiation companies?

Question by javajunkie: which is worse for credit, bankruptcy or debit negotiation companies?
talked to a company that “helps” with debt, decided on negotiation which means that I pay into an account with the company and they wait until my creditors have gotten to the point that they are willing to negotiate to settle the debts to pay them off. so all of the credit cards will basically go to collections and this is all going to be done over a period of 3 years so it is going to trash my credit. should I just file bankruptcy and move on? which is worse?

Best answer:

Answer by Mr_Blue
Either way your credit is going to be trashed. In order of magnitude I would say bankruptcy is worse and to file for bankruptcy has become more difficult for consumers.

Make sure you have a good debt counselor.

Good luck.

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