Mahaffey & Associates, LLC
Call For A Free Consultation
888-422-6894

2 proven strategies for eliminating your debts

The month of January brings the beginning of a new year, and many Ohio residents pledge to make significant changes to their lives in the months ahead. January also brings bills from the holiday season and, for some families, the sobering realization that their financial scenario is untenable. This leads to an important decision: is it time to make a concerted effort to repay debt, or is personal bankruptcy a better path toward eliminating debts?

Many families want to make every effort to repay their financial obligations, and view personal bankruptcy as a measure to be taken only after all else has failed. For those people, a structured debt repayment system is a good starting point. One method is known as the "snowball" approach, and is centered on the idea of paying off the account with the smallest overall balance first, then moving on to accounts with larger balances. This method can give consumers a sense of accomplishment, as well as momentum.

A different approach is called the "avalanche" method. This begins by looking at all accounts and ranking them in order of interest rate. The account with the highest rate is tackled first, and all available resources are put toward paying that balance off. Then the consumer moves to the next account on the list, and so on. This approach can save considerable costs in interest.

Consumers in Ohio and across the nation have had success using both of these methods of debt repayment. For some, however, no repayment plan will be enough to address a mountain of debt that has reached an insurmountable level. In such cases, personal bankruptcy may be the only means of eliminating your debts and moving on to a fresh financial start.

Source: abc10.com, "Two strategies for paying off holiday credit-card debt", Gabrielle Karol, Jan. 8, 2016

No Comments

Leave a comment
Comment Information

Ready To Help

Call Mahaffey & Associates, LLC, toll free at 888-422-6894 to speak with one of our experienced lawyers.

We offer free initial phone consultations. Evening and weekend appointments are also available upon request.

We accept Visa, MasterCard, Discover and American Express.

VISA | MasterCard | American Express | Discover Network
Tell Us About Your Legal Need

Tell Us About Your Legal Need

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

A Full Service Firm For Northwest Ohio with Three Convenient Locations 24/7 Phones And Appointments Taken at 888-422-6894.

Review Us

Sylvania Office
8527 Central Avenue
Sylvania, OH 43560

Sylvania Law Office Map Phone: 419-829-2255

Northwood Office
3200 Woodville Road
Northwood, OH 43619
Map & Directions Phone: 419-693-5515
By Appointment Only

Toledo Office
3131 Executive Parkway, Suite 100
Toledo, OH 43606
Map & Directions Phone: 419-472-5555
By Appointment Only