Financial Mediation and Debt Settlement

Debt is widespread and if your client is going through a life transition such as an illness, injury, birth, loss of job, death in the family, or divorce, they may be too deep in debt to get out. If you are working with a client in debt, this may affect their ability to pay you, which is why it is so imperative to know how to a help a client in debt and how to help them choose a solution that is a best fit for their lifestyle.  

Between bankruptcy, debt consolidation, credit counseling and debt settlement, there are many options, though only two are generally used to wipe out the debt. Attorney Leslie Tayne discusses the objectives of debt settlement, the legal ramifications a client may encounter when settling debt, and the pros of advising towards debt settlement rather than bankruptcy. 

Learning Objectives: 

I.     Understand how to work with a client in debt including red flags and signs of a debt problem 

II.    Identify the differences between debt settlement, debt consolidation, bankruptcy and credit counseling

III.   Comprehend what debt settlement with a law firm entails

IV.   Appreciate the legal ramifications of the nonpayment of debt and how to combat it

V.    Weigh the pros and cons of debt settlement vs. bankruptcy and identify which is right for each situation