Editing Debt relief (section)

===Contemporary===

In modern times, the most common alternatives to debt relief in cases where debt cannot be paid are [[forbearance]] and [[debt restructuring]]. Forbearance meaning that interest payments (possibly including past due ones) are forgiven, so long as payments resume. No reduction of principal occurs, however.

In debt restructuring, an existing debt is replaced with a new debt. This may result in reduction of the principal (debt relief), or may simply change the terms of repayment, for instance by extending the term (replacing a debt repaid over 5 years with one repaid over 10 years), which allows the same principal to be [[Amortizing loan|amortized]] over a longer period, thus allowing smaller payments.

Personal debt that can be repaid from income but is not being repaid may be obtained via [[garnishment]] or [[attachment of earnings]], which deduct debt service from [[wages]].