Pressure from financial hardships can force you to file for bankruptcy, but when does that time actually come?
If you’re unsure whether to file for bankruptcy or not,speak with a reputable bankruptcy attorney. They will advise on your debt relief options. Unfortunately, most people suffer months of creditor harassment as they don’t get sound legal advice on what to do and what not do.
If any of these conditions reflect your current situation, contact a bankruptcy attorney immediately view page.
- High Credit Card Balance
Credit cards help finance your short-termlifestyle. However, it’s easy to let things get out of hand resulting in the total amount owed to snowball.
Once the balance on your credit card exceeds a certain amount, paying it off canbea Herculeantask or down-right impossible.
If you have a high credit card balance that you don’t have the capacity to pay, bankruptcy is the only available option.A credit card debt is unsecured, and hence dischargeable. If this happens, the entire debt on your credit card will be eliminated.
- Large Unsecured Debts
Medical treatment, divorce,andbusiness-related debts are the leading causes of unsecured debt. Regardless of the reason, large unsecured debts aren’t good for your financial health.
If after careful consideration you determine you can’t repay them, evaluate your bankruptcy options. It’s possible to eliminate all the unsecured debts and start afresh.
- Borrowing From Your Retirement
Hardly anyone saves enough for retirement. As such, you shouldn’t borrow from your retirement packages to offset dischargeable debts.
Taking money from your retirement account to make payments on a dischargeable debt is a bad idea. If you find yourself in this situation, file for bankruptcy. If it goes through, all the dischargeable debts will be done away with.
So, you don’t need to spend your entire life paying debts. Instead,use the available resources to save for your retirement.
If you are unable to repay your secured loan, the lender will repossess your property. If this happens, call your lawyer and file for bankruptcy.
After filing the case in court, the repossession of your property must stop until the case is heard and determined.
For instance, if you file a bankruptcy case today, a repossession activity slated for tomorrow can’t go through. The petition acts as an injunction against any collection activity including foreclosure and repossession.
During this period, you may be able to catch up on any late payments to your mortgage. When facing a potential repossession, don’t wait until it’s too late to file for bankruptcy.
- Creditor Harassment
If your creditors are sending threatening texts or calling you on a daily basis, call your bankruptcy attorney. Don’t accept harassment especially when you don’t have the capability to repay your debts.