Truth is that bankruptcy although tempting should be your last resort to getting out of debt and repairing you credit. Filing bankruptcy may help repair your credit immediately but the damage stays on your credit file for 10 solid years before it is removed and during this time it will be quite impossible to receive credit for anything because most creditors will not be willing to deal with you.



To utilize the Wage Earner Law to repair your credit requires one thing, that you be a wage earner. That's it. This is unlike bankruptcy because it does not wipe your credit.

The wage earner law only requires that when you file and are called to court, your creditors must appear and prove in a court of law that you owe them money. Most creditors do not appear because they do not have the time to follow up on your debt in person.

On average about 40-45% of creditors actually appear and when they do appear and the court rules against you, then you can set up a real payment plan over 2-3 years to pay back the debt people tend to use this tactic to erase bad credit score. Setting up this payment plan can also help you repair your credit because you have made an attempt to pay back the creditor directly and not deal with a collection agency. Most of the time creditors do not appear in which case you can wipe that debt from your record as soon as you walk out of the court.

Upon filing the Wage Earner Plan you legally stop any collection agency, lawsuits negative judgment etc against you. Stopping collection notices requires you to write a cease and desist letter to the agency and ordering the stop.Which is one of the crucial steps to repair you bad credit.

When you go to court and the judge rules against the creditor for using deceptive tactics to solicit your business, your debt will be wiped out immediately under the Uniform Commercial Code. Note that these methods might be different depending on what state you live in.Most of these guerilla tactics only work if you know the law and can use it against the creditors to repair your credit. Information is power.