All assets do not come under bankruptcy laws. These can only be protected if you get qualified for federal or state exemptions. However, if you do not, you have to be content with losing some of your prized assets. On the other hand, there is no such fear with settlement programs. Another good thing about conciliation programs is that they do not affect your credit score or credit report. That is a good thing because you can apply for loans in the future. There will be no hindrances in getting a good job or promotion in your work.