With the recession deepening, many consumers are worried that their financial burdens will force them into bankruptcy. The good news is that there are a number of ways to stop paying credit cards using debt settlement systems instead of filing bankruptcy.

These debt settlement systems have been used by people just like you for years to reduce their debt and eliminate their bills. In fact, by using these programs, you can take advantage of the laws allowing consumers a fresh financial start instead of filing bankruptcy. You only need to know where to begin. This article will show you how it's done.

Step 1: Calculate Your Total Debt

Getting started with these programs is easy. First, you need to gather all of your account statements to get an accurate picture of your financial obligations. Separate all of your debts into two categories: 1.) Secured Debt and 2.) Unsecured Debt.

Secured Debt is any account in your name that has a tangible asset backing it up. Some examples of secured debt are mortgages, auto loans, and recreation vehicle loans. These types of obligations, are much more difficult to settle than unsecured debts.

Unsecured debts are what most people have easy access to and find themselves overburdened with. Debt settlement systems are ideal for eliminating these types of obligations. Examples of unsecured debt include credit cards, personal loans, medical bills, gas cards and retail cards.

Once you have your bills separated into these two categories, total up your unsecured debt. If the balance of these accounts totals more than $10,000 you may qualify for a program that allows you to stop paying credit cards instead of filing bankruptcy.

Step 2: Determine Your Best Financial Choice

Once you've totaled your liabilities, you need to determine the cost of your alternatives for eliminating them.

Hiring a bankruptcy attorney can cost upwards of $3,000 plus court costs and filing fees depending on your situation. In some cases, this is the best option. However, debt settlement systems can cost anywhere from $50 for a do-it-yourself system to over $1,000 for a company to do the work for you.

All of these systems use laws that support consumers and allow you to stop paying credit cards instead of filing bankruptcy. The only difference in the systems is who does the majority of the work required.

Using a do-it-yourself program can save you hundreds of dollars, but can take hours and hours of your time. If you're a detail oriented individual and can stay focused and determined, these systems can be ideal for you. These programs have step by step instructions written by attorneys and provide the forms and letters you'll need to use.

On the other hand, if you have substantial debt spread across a number of creditors, a debt settlement company may be your best option. These companies have trained professionals and attorneys that will handle all of the work for you and can successfully erase all of your debt.

Step 3: Take Action!

Regardless of the program you choose, the important thing is that you TAKE ACTION. All of the debt settlement companies offer a free analysis of your finances. Take advantage of it. Even if you choose a do-it-yourself program, I highly recommend that you talk with a debt settlement company. At the very least, you may get some great free advice.

You can end the nightmare of being in debt! You only have to take advantage of the legal ways to stop paying credit cards instead of filing bankruptcy.