As the population of the United States grows, more and more people will file for personal bankruptcy. This has become more widespread because of the circumstances of life. It can sometimes be the individual’s responsibility, and other times it can be due to issues beyond anyone’s control. It will change lives for the better in some ways and for the worst in others. Personal bankruptcy can make daily life easier to deal with because the stress of dealing with collectors has passed. It becomes easier to sleep at night knowing that there are no more debts for the person to have to pay.
On the other hand, personal bankruptcy ruins a person’s credit rating for up to ten years. It will be difficult to by a new car or a new home. If financing is available, the interest rate will be very high because the person is a credit risk. Credit cards will be hard to get, and the cards that are available will have small credit limits and high interest rates. Just about all credit opportunities will be a challenge for the person to obtain. It can make personal bankruptcy hard for some people to deal with. If this is an issue for you, you may want to think twice before filing. The need must be real in order to survive this station in life.
Personal Bankruptcy Attorneys
If you are against the wall with no other way out other than personal bankruptcy, you need to look up an attorney that handles personal bankruptcy. Make sure that the attorney that you choose is a reputable attorney that cares about people and will listen to you and your concerns. Some attorneys handle personal bankruptcies as an easy way to make money. This is the type of attorney that you want to avoid. When it comes time to deal with creditors, you want an attorney that you can trust and rely on. The attorney is there to serve you and your needs in your bankruptcy case.
Personal bankruptcy can be very stressful, and it’s important to know that someone has your best interest at heart. The ability to sleep easy at night knowing that your case is being well handled is worth the cost of an attorney. Some people want to represent themselves, but this can cause more stress and money if it is not handled correctly. Personal bankruptcy is difficult to deal with even when you do enlist the help of an attorney. It is wise for an individual to seek professional assistance in this matter, and to do so as soon as possible.
If you are affected by wage garnishment, foreclosure, repossession or debt collection harassment, speaking to a bankruptcy attorney can free you from debt. Bankruptcy attorneys cannot only give you helpful information about bankruptcy but they can be helpful in assisting you with financial planning to regain control over your debts.
Bankruptcy is not always the best-suited answer for debt crisis. Credit counseling, payment plans through your creditor or expense reduction can all be methods of debt relief that does not involve bankruptcy. A bankruptcy attorney can evaluate your financial situation and assist you in choosing the right path to free you from debt.
If in fact bankruptcy is the best suitable choice, your attorney can assist you with the file of your claim. Depending on your situation will depend on the type of bankruptcy that you require. If you do not have the ability to make payments to pay off your debts you can possibly file chapter 7. Your assets will be sold in order to pay of your debts and your debts will be discharged.
If you have the ability to make payments and have a steady income-filing chapter 13 may be appropriate. The court will create a transaction plan of who will be paid, the amount and the time frame (often 5 year period) to repay your debts in full. After the debts are paid in full your debts will be discharged and your payment plan discontinued.
By speaking to a bankruptcy attorney you will be guided towards financial freedom in the best method for your financial situation. Filing bankruptcy is done in federal courts. This means that no matter what state you live in the policy is relatively the same. The majority of bankruptcy filings that were done in Las Vegas over the last several years are chapter 13. This is the bankruptcy filing that allows for a consolidation and repayment of your debts.
This means that you are still responsible for paying your debts. When you file chapter 13 you will have between three and five years to repay those debts without incurring any extra charges due to interest on the amount owed. This is different then filing chapter 7 because with chapter 7 you are absolved of your debts by selling off assets and having your debts paid for that way.
In Las Vegas it is strongly recommended that before filing bankruptcy you seek the advice of a credit counseling service. Credit counseling can be a good alternative and can help you to resolve credit issues without having to file bankruptcy. This can save your credit and help you get on your feet faster then if you do file bankruptcy.
A good credit counselor will also know when there is no other way then to file bankruptcy. It is most often recommended that you file chapter 13 because it is easier to work with creditors if you intend to pay your debts. When seeking credit counseling you often attend classes to help you learn better how to manage your money and how to create a budget that you and your family can live with.