Tips, Tricks And Should I File Bankruptcy Ideas

Mar 26th, 2014 | By | Category: Debt

Filing for bankruptcy is often a stressful, litigious process that you should avoid at all costs. However, if you find yourself financially incapable of paying off your debts, so you can look for bankruptcy information online, containing tips and steps on the means to file for personal bankruptcy. Before ultimately deciding to file, ask yourself several times: should I file for bankruptcy? Is there really no other means to pay back this debt? If your answer is no, then read on below to know how to file for bankruptcy.

Look for other solutions first. Make sure you’re really broke before you file for bankruptcy, because it will reflect on your credit record for as long as ten years. If you know what your credit record and credit rating is, then you are aware that it can possibly hinder you from engaging in important financial operations in the future, so make sure you think about this really well. In some countries enforcing bankruptcy laws, they’re requiring everyone who is intending to file for bankruptcy to go through a credit counseling session to know if there may be other alternatives available for the person.

EVERY month tens of thousands of people file for federal bankruptcy protection, mostly to wipe out debts and start anew. Many of these filers mistakenly think that it will be many years before they can obtain a mortgage or refinance an existing home loan, if they ever can — perhaps because notice of a bankruptcy filing typically stays on a credit report for 7 to 10 years. In reality, they could become eligible in as little as one year, as long …

Bankruptcy will stay on your credit report for 10 years. However, if you’re in a situation in which it makes sense for you to file bankruptcy, your credit is likely already severely damaged. By filing bankruptcy, you’re able to meet most, if not all of your unpaid bills, meaning these debts will finally disappear from your report altogether, leaving just the bankruptcy and any new credit obtained thereafter. If you’re able to avoid getting behind on bills after the old unpaid debts are discharged through bankruptcy, it may be that your credit will become stronger after the procedure is over.

More Random Should I File Bankruptcy Stuff

It depends. If you have debts with both spouses’ names on it and want them discharged through bankruptcy, then either both spouses need to file, or the spouse not filing bankruptcy will normally be held responsible for the debt. If all the debts being discharged are on behalf of the spouse filing the bankruptcy, then it shouldn’t affect the other partner’s credit.

There is one thing to bear in mind when it comes to joint debts and bankruptcy; if one spouse files and both spouses later apply for joint credit, the credit approval decision will usually be based upon the mate with the lower credit score.

FAQ’s: bankruptcy filing?
I need the procedure and some contacts on how to file bankruptcy

  • Here's some basic information on the some of the types of bankruptcy you can file: Chapter 7 wipes the slate clean, and Chapter 13 puts you on a payment plan. However there are a few things to keep in mind. First off, be warned that the rules for bankruptcy have changed. It used to be that it was easy to file a Chapter 7 bankruptcy, and have all of your debt wiped clean (with the exception of certain government debts). These days the requirements are much stricter. The change came in the past year or so. You basically need to be receiving virtually little to no income in order to file Chapter 7 now. That's why there was a sudden rush just before the law changed with people wanting to file Chapter 7 before the new rules went into effect. Most people are forced to file Chapter 13 instead, which dissolves a percentage of your debt (usually somewhere around 80%), and then has you pay off the remainder over a period of time. Usually this has to be less than five years. During that time interest will accrue on your balance. The courts will take into consideration your disposable income and will usually request a payment in their calculated amount, even if it is not necessarily something you can easily afford. Also, there are some pretty lengthy calculations detailing when you can include Federal taxes. There are plenty of sites that have additional information. The actual procedure itself can vary amongst courts, attorneys, etc., so you would need to contact someone local. Hope this helps!!

  • Bankruptcy law is now quite complex and you should do your own research before you make this decision. The website below contains lot of information to help you, with many links and resources so that you can use to research your options. If there is no alternative and you have to file bankruptcy you must consult a lawyer – it's just too difficult to take this on yourself. An initial consultation will usually be free. I hope this helps. Good luck!

  • Hire a lawyer. Most people opt not to search for a lawyer when filing for bankruptcy. However, you will soon learn that hiring bankruptcy lawyers is a good decision on your part since filing entails knowledge of funds and legal details that may be hard for you to handle by yourself. Make sure you hire a lawyer that you will be able to communicate with constantly, because you need direct and constant supervision for your case.

    Go over your case with your attorney. This is an important part of filing for bankruptcy. So that your lawyer knows what strategy to use in filing your petition, go over your case with him in as much detail as possible. Report all your income streams and expenditures for the last six months so that he will know exactly what to write on your bankruptcy forms. Calculate the costs. The fees for filing for bankruptcy may vary according to where you live. Some lawyers charge a flat rate for filing, while others measure the fee by taking a percentage of the sum of your debt. If you are lucky to search for a lawyer that charges the former, then good for you.

    Refer all your creditors to your lawyer. After you have settled your fees, and you’ve the lawyer on retainer, refer all your creditors to him and he’ll speak on your behalf. Once the petition has been filed, the ‘automatic stay’ rule sets in, and no creditor can speak directly to you according to law. Creditors who violate this can be sought for damages on your part.

    Wait for the creditors meeting. After filing the petition, you’ll be informed of the date of the creditors meeting, as prescribed by law. In this meeting, you’ll be required to make a sworn statement about your petition, including your understanding that you’re filing for bankruptcy.

    Wait for the abandonment of 60 days for your complete discharge. Your creditors have 60 days from the creditors’ meeting to contest your discharge of all debts. After 60 days, then you’re no longer legally required to pay these debts.

    Remember, your filing of bankruptcy goes onto your permanent credit record, so think about it very carefully before deciding to file, in order to save future financial transactions.


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