Debt is a fact of life for pretty much everybody — but if you find yourself going into more debt to pay off your pre-existing debts, you should take action immediately. Ultimately, the best way to secure a fresh financial start for yourself is to file for bankruptcy.
If you aren’t experienced with bankruptcy, finding help with filing bankruptcy and knowing when to file bankruptcy or how to file bankruptcy can be a daunting task.
So before you make the choice to file a Chapter 7 bankruptcy, make sure to do your research — starting with this article.
Here are the four most important facts everyone should know before filing Chapter 7 bankruptcy:
1. Chapter 7 bankruptcies generally require you to surrender some of your property. In order to make up for the debts liquidated during your Chapter 7 bankruptcy, you will likely have to give some of your assets to the bank. However, federal law allows Chapter 7 bankruptcy filers to keep some of their possessions, like their house and car.
2. A Chapter 7 bankruptcy is a serious decision. Because a bankruptcy will stay on your credit report for 10 years after it has been filed, it’s important to discuss whether or not a Chapter 7 bankruptcy is right for you with a local bankruptcy attorney who possesses a thorough knowledge of how the bankruptcy process works.
3. You should never file a bankruptcy without a bankruptcy attorney. Because of the amount of paperwork that must be completed during a bankruptcy, it’s important to hire a Chapter 7 bankruptcy attorney who can ensure your paperwork is filed correctly and efficiently. Otherwise, you are at a greater risk for having your bankruptcy rejected by the court.
4. A Chapter 7 bankruptcy can change your life. The stress of creditor harassment and mountains of debt can take a significant toll on your physical and mental health. By filing for bankruptcy, you will lift all this stress away and be able to start anew with responsible spending and saving habits. More information like this.
