Chapter 7 Bankruptcy: Is It Right For You?

Posted on

Bankruptcy is not an easy way out of debt, it's the exact opposite. It takes work on your part to be able to file for bankruptcy, not to mention the time it takes to gather the information and for the bankruptcy itself. Bankruptcy is anything but easy, and it should never be thought of as easy either. If you are in debt, bankruptcy may or may not be for you. Read on for information to help guide you to see if bankruptcy is right for you.

How Much Debt Do You Have?

There is a difference between having debt and still being able to afford your bills and having debt and barely earning enough money to pay those bills and survive. If you have debt and can still afford your bills and can still keep your head above water, you don't need to file for bankruptcy. If you're able to afford your debt, you just need to gain control of the amount of debt you have. Going to a debt counselor may be more along the lines of what you need to do rather than bankruptcy.

Do You Have Another Option?

If you have a way out of your debt such as taking a no interest loan from a family member, or you have equity or assets that can be used for money. If you have other options that can be exhausted before filing for bankruptcy, you should attempt that route instead of filing for bankruptcy. If you have assets that can be sold for money, you may be required to do this by the bankruptcy trustee.

Have You Filed Bankruptcy In The Last 7 Years?

If you've filed for bankruptcy before and it's been recent, you may not be able to file for bankruptcy at all. You cannot file for bankruptcy if it's been within the last 7 years. If you attempt to file again before that time, your bankruptcy may be dismissed right away without question. If you've filed a bankruptcy recently and it was discharged, not dismissed, you may need to figure out another option.

If you have a lot of debt and are struggling to get ahead and to just survive, bankruptcy may be the right path for you. If you are struggling with your debt, make an appointment with a Chapter 7 bankruptcy law attorney to find out all of your options to get out of debt.