Chapter 7 * cases starting at $1000 in attorney fees plus court filing fees of $338
Chapter 13 * cases starting at $750 down which includes the filing fees and then hourly work will be billed
* Please note that all cases require a full consultation before an individual attorney fee quote can be made

Payment Plans Available. Call For A Free 1-Hour Consultation. 

A+ Premier Attorney Rating | The National RegistryA+ Premier Attorney Rating | The National Registry
Awarded | Top 100 Bankruptcy | Blog
A+ Premier Attorney Rating | The National Registry
Photo of Kim Covington

A Personalized, Sensitive
Approach To Bankruptcy

Pros and cons of debt consolidation loans

On Behalf of | Oct 29, 2015 | Credit Card Debt

Many families in Oregon are looking to debt consolidation loans to manage their consumer debt and make their monthly payments more manageable. According to, debt consolidation is the practice of taking out one new loan to pay off existing loans with the goal of lowering the amount due each month. This may help lessen the burden on families each month and allow them to stay current with their debts. However, there are clear pros and cons to consolidation.


For some consumers, consolidation loans may be an effective way to get out of debt. Consolidation simplifies the monthly bill-paying process by reducing the number of creditors that need to be paid each month. It may also allow consumers to pay off their debt with a lower interest rate, which could greatly affect the total amount they pay in additional interest and fees.


There are clear disadvantages to this method of loan repayment, however. In some circumstances, debtors can find themselves further in debt if they consolidate their loans and do not cease adding to their debts, either through additional loans or the use of new credit cards. Additionally, many of the low interest rates advertised by consolidation companies are actually teaser rates that expire after a certain time period. These loans may also have hidden fees or costs consumers would not have to pay if they continued making individual payments to their original accounts.


Many consumers who find success with consolidating their debt do so because of strict planning and a change to their lifestyle. The Consumer Financial Protection Bureau recommends that before choosing to consolidate loans, consumers should resolve to stop adding to their debt and take the time to evaluate all their payments and fees and compare them to what would be required after consolidation. That way they ensure that it is the proper choice for their situation. 

FindLaw Network

Learn More About Your Fresh Financial Start

The Law Office of Kim Covington, is a woman owned debt relief agency, and I have helped families, individuals and small businesses, file for bankruptcy relief under the U.S. Bankruptcy Code, for over 24 years.