Do you know negotiation, settlement not 'preference'?
How is it legal for those scammy businesses to offer 'debt negotiation',
'debt settlement' etc, dealing with one creditor at a time, although an
individual is not supposed to show 'preference' to one creditor before
others?
-The preference provisions apply only once you have filed for bankruptcy. It
is perfectly legal to give preference to one creditor over another if you
don't file.
-The Small Print: This response is for discussion purposes only. It isn't
meant to be legal advice and you shouldn't treat it as such. If you want
legal advice, speak with a local lawyer familiar with your state's laws who
can review *all* of the facts and the law applicable to your situation.
-A preferential payment doesn't prevent you from filing; it only allows the
Trustee to go after the person/entity who received the preferential payment