I definitely believe we all should pay our debts no matter how long it takes. However, I have counselled people who had dug such a deep whole that they were unable to pay off their debts like the lenders wanted. They had no choice but to either negotiate with the card companies or declare bankruptcy. I always encourage negotiation first, but I also always suggest they negotiate a no interest rate solution that involves paying all the money back. Of course, in this situation, I also tell these people that they must eliminate ALL unnecessary expenses (including cable, internet, etc.) before they go to negotiate a settlement. Most are not willing to do that, and that is when I say "then the card companies shouldn't settle with you". I've learned that many people simply won't do what it takes to get their finances in shape. They just want someone to fix it for them. Those people can't be helped until they change their attitudes.
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