Need A Fresh Start? Read These Tips Now!
Posted at by PConran on category BankruptcyFiling for personal bankruptcy is a serious decision. Make sure that you know what you are doing every step of the way. Apply the advice from this article to go down the right path. Whatever tough decisions you must come to face with, research can help you find your way!
Before filing for personal bankruptcy, make sure you are doing the right thing. Avail yourself of other options, including consumer credit counseling, if they are appropriate for your situation. Before you take the drastic move of filling for bankruptcy and living with a long lasting bad credit history, make sure to consider using another way that may not be as damaging to your credit.
If you are faced with the choice of filing for bankruptcy or using your emergency fund or retirement accounts to pay creditors, opt to file for bankruptcy. Unless there are no other options, your retirement funds should never be touched. Your savings accounts offer valuable financial security so try to leave them intact.
When it comes to informing your attorney about your case, don’t be fearful. Don’t assume that he will remember something you told him weeks ago. Speak up, because it is your future on the line.
Try going to a personally recommended bankruptcy lawyer instead of using a phone book or the Internet. There are many companies who take advantage of financial desperation; that is why it is important that you get someone that is trustworthy.
Find a specialized lawyer if you are thinking about filing for bankruptcy. With all the ins and outs of bankruptcies, it can be hard to grasp all the knowledge. Personal bankruptcy attorneys can help make sure everything is done properly.
Investigate your other alternatives before you decide you have to go with bankruptcy. It may be that all you really need to do is consolidate some of your debts. Going through the bankruptcy process is a long drawn process which at times can be incredibly stressful. In addition to the stress associated with bankruptcy, you will also have to deal with severely restricted credit in the future. Because of this, filing for bankruptcy should only be used as a last resort.
If you are going to be filing for bankruptcy, think about filing Chapter 13. If you posses a regular source when it comes to income, and you have less than $250,000 of unsecured debt, you could file using Chapter 13 bankruptcy. That kind of bankruptcy allows you to hold on to your personal things and real estate while repaying your debts with a plan to consolidate your debt. Typically, this goes on for roughly three to five years, and once this time has expired, your unsecured debt is eliminated. Bear in mind that if you miss a single payment that is due under your plan, the entire case will be dismissed by the Court.
Now you know that there a variety of methods you can use when it comes to filing for bankruptcy. Do not let this information overwhelm you! Think carefully about your situation and the tips at hand. By taking your time, you will make the best decisions.