Warning Signs. In assessing whether or not you should seek some kind of debt relief, consider the following questions:

• Do you ever use one form of credit, such as a credit card or debt consolidation loan, to make payments on other debt? Or to put it in Biblical terms "Robbing Peter to Pay Paul"?

• Have you taken one or more cash advances greater than $500 in the past few months to pay living expenses such as everyday utility bills or even groceries?

• Do you ever borrow from friends or family to meet regular expenses, such as food and utility bills?

• Can you barely make the minimum required payment on credit cards or other debts?

• Are you receiving harassing calls or letters from creditors or collection agencies?

• Are you being sued (summons and complaint), or are your creditors threatening to sue you?

• Are your wages being garnished, or are your creditors threatening a garnishment?

• Are your financial problems impacting your health or relationships due to stress?

• Do you owe two months salary or more on your credit cards?

• Are you using one-quarter or more of your take-home income to pay credit card bills and personal loans (excluding mortgage payments)?

• Are your revolving credit cards charged to the limit or maxed out?

• Have you bounced more than one check in the past year?

• Are you without cash reserves for a rainy day or emergency?

• Are you behind on house (mortgage or rent) or auto payments?

• Are your creditors threatening to take your car, house, or other property (foreclosure or repossession)?

• Are you behind on your taxes or do you owe the IRS, State of Michigan or City of Detroit?

If you answered “yes” to one or more of the preceding questions, you should consider seeking some form of debt relief. Bankruptcy, of course, offers very effective debt relief, but there are possible alternatives to filing bankruptcy which shall be covered below.