If there is seemingly no end in sight to your debt troubles- whether you’re unable to pay your bills, or have been threatened with wage or property garnishment to satisfy your debt- you’re surely looking for a solution. Filing for bankruptcy may help countless debt-laden individuals get back on track, but it’s not always the fresh start people like to believe it is. This is not a decision one should make without taking some important considerations into account.
Discuss your situation with a qualified bankruptcy lawyer to find out which type of bankruptcy, if any, can help relieve you from the burden of debt. The Brooklyn bankruptcy attorneys of Michael F. Kanzer & Associates P.C. provide their clients with the information and guidance they need during this trying time. We help individuals, families and businesses throughout Brooklyn, Queens, Long Island, Staten Island, and the surrounding areas pursue the best legal options based on their particular financial circumstances. The following considerations may help you decide if bankruptcy is an option you should pursue in order to get back on the road to financial success.
Is now the time to file for bankruptcy?
Like we said, this is a decision that must be made only after gathering as much information as possible and looking into other options. Besides the fact that filing for bankruptcy is a major decision, you also are only allowed to file once every eight years. So, the follow-up question would be, “Do I really need this, have we exhausted all other options?” Also important to consider are whether or not you have nonexempt property or wages. You won’t be put in jail for failing to pay civil debts if you don’t have anything creditors can seize.
Do I have to go to court if I file?
Oftentimes, your attendance is only required at the meeting of creditors. The process is fairly simple, and although creditors are allowed to attend this meeting, they have to uphold the law and be respectful- not abusive.
How did I get into debt?
Certain types of bankruptcy may remedy an individuals’ debt, but don’t be blind to the steps you took to get to the breaking point, so to speak. While countless debtors had no hand in their poor financial state- like if they were laid off, or have a health condition that results in mounting medical bills- others spend frivolously and live beyond their means. So, ask yourself, ‘do I fail to adhere to a sensible budget?’ If the answer is “yes,” you need to change your spending habits and address any underlying issues, otherwise, you may end up in the red once again.