5 Scams To Avoid When We Are Still Recovering From Bankruptcy

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Any good advice in bankruptcy worth its weight in gold and we can get it from trusted lawyers who are experienced and knowledgeable enough to deal with this situation. Regardless of the type of bankruptcy that we are undergoing, it is important to tackle it lightly and avoid any offer that can make the situation worse.

Some of the bankruptcy recovery programs can be inviting for novices and newbies, but they could be a perilous journey where criminals may try to take advantage of our situations. Many bad people lie and steal their way through others’ financial difficulties for their own gains. Here are a few things we should avoid:

Five Scams To Avoid When We Are Still Recovering From Bankruptcy

1. Bankruptcy car loan schemes:

These schemes could offer exorbitant rates that make it harder for us to recover financially. For an arm and a leg, these schemes may offer us interesting solutions that don’t always work well. Debt relief could be unrealistic if we choose these methods.

2. Spam email messages:

Spammers may entice us to consolidate our bills into more manageable chunks. They promise the end of garnishments, tax levies, foreclosure threats and credit harassments. Unfortunately, what these spam mails offer us may not be the true quick fix for us. We should pay special attention and avoid making mistakes.

We may end up trapped by financial obligations that are difficult to deal with. Added complexities can make it harder for us escape from bankruptcy traps.

3. Home equity schemes:

During economic downturn when people have problems with their real estate assets, home equity schemes may sound very interesting. Desperate people can be extremely gullible and they are open targets for a number of people. Criminals may have a number of creative short-term financing strategies that can make our condition more difficult to handle.

These schemes may not be real solutions. They may cause stolen identity, ruined credits and additional heartache.

4. Credit repair services:

Scammers could work under the guise of credit repair services to get our financial details and information. This could ruin our credit, if they do something illegal with our data. Bad people will put us into further mess that we need to sort out. There’s no easy way to repair bad credit report, especially if our bankruptcy reports have been contaminated by illegal acts of these criminals.

They can make fake, new identities based on our tax number or other details. Fraudulent practices are quite easy to do and some of these offers may sound too good to be true. This means, we should do the right things.

5. Downright criminal offers:

When people are desperate, illegal offers can actually sound enticing. They could be law-abiding individuals in normal lives, but their desperation could force them to bend and even break the law. This is something that we need to avoid. Our family will be in a much more difficult situation if we go to jail. In fact, people who offer these scams could get away and we will be blamed entirely for this mistake.

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