Deciding whether or not you should file for personal bankruptcy is a personal decision. Most people file personal bankruptcy because of overwhelming debts caused by financial hardships. Some of these hardships may include unemployment, lack of adequate insurance, emergency medical expenses, overextended credit or spending that has become out of control. Whichever circumstance has caused you to consider bankruptcy, just remember that filing for personal bankruptcy is nothing to be ashamed of. The bankruptcy laws have been written to help you, the consumer, get out of debt.
Because filing for personal bankruptcy can be complex, you should contact Brooklyn bankruptcy attorneys who specialize in personal bankruptcy. They can help you with the intricate process. Bankruptcy attorneys possess the knowledge needed to navigate through federal and state laws. Find Bankruptcy attorneys who will meet with you and address all of your concerns. The process can be a difficult one and there is a chance that you will lose property or other rights if you do not know the laws.
There are two types of personal bankruptcy you may consider filing: Chapter 7 and Chapter 13. Chapter 7 involves liquidating your assets and turning them over to the courts. A Chapter 13 bankruptcy is filed if you have valuable assets, such as a house, that you want to keep. Under Chapter 13, a plan of payment with the creditors is set-up over a period of several years. Your records and paperwork will be reviewed and your attorney will decide exactly which type of personal bankruptcy is right for your situation.
Once you have filed for personal bankruptcy and your petition has been approved by the bankruptcy court, all transactions are frozen. Notices are sent to creditors who must stop all actions against you to recover or collect money. Once the debt has been satisfactorily resolved under the agreement stated in the personal bankruptcy proceedings, a discharge is issued, releasing the debt. All creditors receive a permanent order to stop all forms of collection action against you on discharged debts, including legal action and all communications.
Bankruptcy attorneys will make sure your needs are met in your personal bankruptcy case. Once you’ve made the decision to file, don’t look back. Your dark days will be behind you as you move forward on your way to financial recovery. Personal bankruptcy offers you a new beginning and an opportunity to regain your financial health.
When faced with the possibility of bankruptcy, Bankruptcy Attorneys can help get your financial situation back under control.