Setting My Finances Straight
Bankruptcy is always a difficult choice to make. But when you have a home with a mortgage, it's even more so. Likely, one of your biggest concerns is whether or not you can keep your home. The good news is that you do have several methods to do that. You also have alternatives that may be better for you. Here are three scenarios that may work for you.
1. Use the Homestead Exemption
Are you overwhelmed by unsecured personal loans, past-due medical bills, credit card debts, and other crushing expenses? Or perhaps you're tired of receiving non-stop calls from disgruntled creditors. Whatever the case, filing for bankruptcy might offer the fresh start that you need.
That said, you have probably heard that there are two main bankruptcy options: Chapter 7 and Chapter 13. Given a choice, most people prefer to file for Chapter 7 instead of Chapter 13.
When you hear the word bankruptcy, two thoughts probably cross your mind. The first is that this only happens to people that do not know how to budget, and the second is that this problem could never befall you. Unfortunately, though, both these assumptions are wrong. The reality is that bankruptcy tends to happen when individuals are faced with burdens that cause them considerable financial distress. Consequently, they lose their financial bearings.
In recent years, finances have become a common topic among hiring managers. It's nothing to see a consent for a credit screening on an employment application. Given this area of newfound importance, it's natural to have concerns about the effect filing for Chapter 13 bankruptcy might have on your current and future employment endeavors.
An employer is not barred from learning about your bankruptcy filing, especially if your wages are being garnished due to an unresolved debt.
If you are drowning in debt, all you may care to know about it is that you have far too much of it. Not being able to pay your bills more than just once in a while may be a sign that bankruptcy is in your future. A chapter 7 bankruptcy filing will provide you with the debt relief you need in most cases. The type of debt you have influences how much of it can be discharged.
After I realized that I was way behind on my rent, I knew that I had to do something. I sat down with all of my bills, and I started evaluating my personal financial situation. Things were bleak. I realized that in addition to being sent to collections by several places, I also had a terrible credit score. I didn't know how to cope. However, a friend of mine suggested meeting with a bankruptcy attorney, and so I sat down to talk with him. It was amazing to hear how much things could improve by declaring bankruptcy. Overnight, creditors stopped bothering me. This blog is all about declaring bankruptcy.