Learn of new laws prior to deciding to file for bankruptcy. These laws change regularly and you should stay up-to-date so you can make the best decisions. To know what these changes are, go to your state’s website or contact the legislative offices.
Hint Before pulling the trigger on bankruptcy, be sure that other solutions aren’t more appropriate for your case. One example would be that a consumer credit program for counseling if you have small debts.
Research Chapter 13 bankruptcy, and see if it might be right for you. If you posses a regular source when it comes to income, and you have less than $250,000 of unsecured debt, you could file using Chapter 13 bankruptcy. That kind of bankruptcy allows you to hold on to your personal things and real estate while repaying your debts with a plan to consolidate your debt. This plan usually lasts from 3 to 5 years, after which, you will be discharged from all unsecured debt. However, if you were to miss a payment, the court would dismiss your case right away.
Now you know why bankruptcy filing is a type of decision that needs to be carefully thought out before being pursued. Should you determine that it is a wise move considering your personal circumstances, you need to consult with a lawyer who has handled many other bankruptcy cases.