When it comes to seizing control of your finances, you need to be aware of the pros and cons of filing bankruptcy. Discuss your current financial circumstances with only a qualified bankruptcy attorney as the Federal Bankruptcy Laws are as complicated as they are powerful. The rights to retain your property and the discharging of debts heavily depends on your specific financial situation.
The Pros and Cons of Bankruptcy
What Are The Advantages of Filing Bankruptcy?
Cancels most, if not all, of your debt.
Provide you with a much-needed “fresh start.”
Debt cancellation renews a positive attitude regarding other responsibilities.
Allows you to retain your vehicle if you remain current on payments.
Allows you to keep your home if you remain current on payments.
Avoids foreclosure for reasonable monthly payments or allows time to refinance or sell your home.
Does not prevent you from further obtaining credit.
Does not prohibit you from paying selected creditors after your bankruptcy is filed.
Prevents creditors from making a claim after the bankruptcy is filed even if you later win the lottery.
What Are The Consequences of Filing Bankruptcy?
The “fresh start” envisioned by the bankruptcy law is only obtainable every 8 years.
For 10 years, your credit report will show that a bankruptcy was filed.
You may have to wait 2 years before you can buy a home, although some lenders allow for home loans after one year.
Contact Expert Bankruptcy Lawyers at The Consumer Bankruptcy Law Center
If you’re considering bankruptcy or have any additional questions regarding filing for bankruptcy, please contact us at our offices today. It’s essential that you fully understand your situation and the options available to you. At The Consumer Bankruptcy Law Center in Danvers, MA, we’re aiding our clients in filing for Chapter 7 or Chapter 13 bankruptcy, obtaining the fresh start they need to begin a life of financial freedom.