Is Bankruptcy the only option if over $10,000 of credit card debt is in collections for more than 6 months?

It would be to your advantage to consult with a qualified local bankruptcy attorney before your creditors file legal actions against you.  It may not be necessary for you to petitition for bankruptcy.  An experienced bankruptcy attorney could negotiate binding repayment arrangements with your creditors without the involvement of the courts.

Should a bankruptcy filing become necessary, under bankruptcy law your attorney must  negotiate repayment terms with your creditors.  You will have to participate in a “creditor’s meeting” to answer questions under oath regarding your finances and repayment intentions, and the bankruptcy court must approve your repayment plan.   Additionally, your bankruptcy attorney can advise you regarding all relevant issues in a potential bankruptcy situation, including your eligibility for and the critical distinctions between Chapter 7 and Chapter 13 bankruptcy proceedings, debt consolidation and credit counseling.