When a person considers filing for bankruptcy, he is usually overwhelmed by his financial situation. However, there is also frustration and a certain level of fear about the unknown and the future. Bankruptcy is not the financial forgiveness many think it is. For example, bankruptcy courts do not relieve debts such as child support. If you are searching online for how do I file bankruptcy you will be faced with plenty of information. However, there are certain steps that you should take when you believe bankruptcy is your only option.
Bankruptcy can stay on your credit report for ten years. Unfortunately, some business owners and creditors may decide to refuse to do business with you based on your bankruptcy. This is why it is important to take all of these things into consideration when wondering how do I file bankruptcy.
Consider Other Options
Before filing a bankruptcy petition, you should take the time to research other debt relief options including:
- Credit counseling
- Financial coaching
- Loan refinancing
- Loan modification
- Consolidation of credit cards
When you schedule a consultation with a bankruptcy attorney, the attorney will go over all of the options that are available to you. The attorney can help you decide if filing for bankruptcy is the best choice for you.
Know When You Should File
There are cases where bankruptcy is the only feasible choice for a dire financial situation. Once the debtor has filed a bankruptcy petition and the process has begun, the court will grant the debtor an automatic stay. This is a court order that prevents your creditors from contacting you regarding debts you owe and prevents them from taking your assets. Depending on the type of bankruptcy you file, the court may discharge some or all of your debts after your court case.
Get an Attorney
If you believe that bankruptcy is your only option, you should hire an experienced and reputable bankruptcy attorney. He will be able to help you in understanding bankruptcies and help you navigate the complicated bankruptcy process. He will also prevent you from taking missteps that could cause the courts to dismiss your case before the courts even hear it.
These are the beginning steps that you should take when you want to know how do I file bankruptcy. Your attorney will help you during the rest of the process. This allows you to begin the process of rebuilding your credit.
Contact us today for a free consultation regarding your financial situation and learn whether bankruptcy is the right choice for you.