Why Should I File Bankruptcy?
If you owe an insurmountable amount of debt, you may wonder what you can do. Once collection calls begin coming in, it might seem like a hopeless situation. However, bankruptcy may be your best or only option at that point.
There are various reasons why you should file for bankruptcy. Individuals can file for Chapter 7 or Chapter 13 depending on their finances and debt that’s owed. Chapter 7 bankruptcy allows you to completely discharge your debts with a few exceptions — student loans, child support and some tax obligations. Chapter 17 bankruptcy lets you create a repayment plan that allows you to pay back a portion or even all of your debt within a period of three to five years. However, you are not obligated to sell any of your property as with Chapter 7.
Generally, there are certain situations that can determine why you should file for bankruptcy. They include the following:
• Debt collectors constantly call you: If debt collectors are harassing you over the phone, you may want to consider the option of bankruptcy. It can put a stop to the calls and end any lawsuits against you by collectors as well.
• You’re at risk of losing your home: If your home is just around the corner of being foreclosed on, act immediately. Chapter 13 bankruptcy, in particular, can help you to keep your home while coming up with a reasonable plan for paying back your debts.
• Relying on loans to pay bills: If you are getting high-interest loans, particularly payday loans, to pay your regular bills, it can be a huge financial trap that spirals. Bankruptcy can end this vicious cycle.
• You’re liquidating retirement assets: You should never have to go through your retirement assets to pay debt. Additionally, this is money that is exempt from bankruptcy.
If you are having difficulty paying back your creditors and owe a huge debt, you need the help of Ursulova Law Offices, a Brooklyn NY bankruptcy law firm. Bankruptcy lawyers in Brighton Beach are there to assist you every step of the way. Contact Brooklyn NY bankruptcy law firm Ursulova Law Offices at your earliest convenience to speak with bankruptcy lawyers in Brighton Beach.