In recent years, bankruptcy has developed a bad rap. The word alone can invoke images of sitting on the curb outside of your home, watching as your possessions are carted away. Surprisingly enough, bankruptcy can be one of the best ways to resolve your debt and give you a fresh start.
If you're uncertain about your future and believe that bankruptcy could be a viable option, we can help! There are important things to consider before filing and making the most informed decision is always in your best interest.
What should I consider before filing?
Debt can develop for a number of reasons and sometimes your circumstances make it difficult to handle financial responsibilities. When filing bankruptcy, an automatic stay is enacted. This stay essentially freezes creditor collection and gives you a chance to make headway on overdue bills or mortgage payments.
If your financial circumstances are not likely to improve anytime soon, bankruptcy may be the best option for you. Your credit report will be significantly impacted by filing, so if you are able to pay off your debts in a reasonable period of time, this may make more sense than filing for bankruptcy.
Consider your future – will bankruptcy significantly improve your life five years down the road? If so, it could be right for you. Bankruptcy is a way for you to change your financial habits and work toward future success. Commit to this change before filing to avoid going back into debt.
In the end, you have to do what makes the most sense for your unique circumstances. Don't hesitate to contact a Detroit bankruptcy attorney from our firm who can assist you in your decision making process. Call today!