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Douglas R. Roeder, Attorney At Law updated their business hours.
Your Federal and Pennsylvania tax returns are due on July 15th this year due to the COVID-19 extension. If you cannot get your returns filed in time then request an extension to October 15th. That way you will not get penalized for late filing. But, you will still have to pay interest if you owe money.
The Law Office of Douglas R. Roeder is now re-opened and seeing clients. We will provide masks and disposable gloves for clients coming into the office. We also have a non-contact digital thermometer to check temperatures and make sure no one coming in has a fever. Please call for an appointment.
The Law Office of Douglas R. Roeder is still serving clients! We are just working remotely from home due to COVID-19 and the Governor's order. Please contact us by email at droeder1@comcast.net or at (717) 671-5345. We will be back in the office as soon as the Governor allows it and it is safe to open the office again.
THE DIFFERENCE BETWEEN DEBT SETTLEMENT, DEBT CONSOLIDATION AND BANKRUPTCY
Many people who I have talked to over the years have told me that they have tried debt settlement or debt consolidation plans that did not work for them. Let me explain the difference between debt settlement, debt consolidation, and bankruptcy.
First, debt settlement is where you have a company negotiate a settlement of your debts for a lesser amount than you currently owe. Usually these debt settlement companies will reduce your debt to about 50% of what you currently owe, but you have to make payments for about 3 or 4 years. If you do not make all of the payments, then you will not get any reduction in your debts. You will only get credit for what you paid. Also, you will pay a fee to the debt settlement company. Therefore, if you are unable to pay about half of your debts plus the debt settlement company's fees over 3 or 4 years, debt settlement probably will not work for you.
Second, debt consolidation is where you take on new debt to pay off old debt. The idea is that you get a new loan with a lower interest rate and then use the funds from the loan to consolidate all of your old debts. Now you only make one payment instead of many. The problem here is that debt consolidation only works if you have good credit and can afford to pay off all of your debts. Most people who I have talked to with a lot of debt simply do not have good enough credit and do not enough income to make a debt consolidation plan work.
Third, bankruptcy is where you file for relief under the U.S. Bankruptcy code. Most bankruptcy filers have some or all of their debts discharged (wiped out) once they complete their bankruptcy. Bankruptcy filers are "means tested" and filers who are above their state's median income generally have to pay off some of their debts off through a Chapter 13 Plan. Filers who are below their state's median income can typically file a Chapter 7 bankruptcy and are not required to pay off any of their debts. Bankruptcy filers do have to pay on secured debts such as car loans or mortgages if they want to retain the items such as the cars and vehicles secured by the liens against their property. Bankruptcy if often the best option for people who simply cannot afford to pay off a large portion of their debts.
