Will Filling For Personal Bankruptcy End My Financial Problems?

Personal BankruptcyWhen you’re struggling with debts and are at a loss of how you can pay them within a reasonable amount of time, you should consider filing for personal bankruptcy in Ogden. While deciding whether or not to declare bankruptcy is a personal decision, it’s a legal way to manage debt.

Godfrey Law says filing for bankruptcy is different from filing for personal bankruptcy. When you file for bankruptcy, it means that you can’t settle your debt within a certain timeframe.  In a situation where the amount you get even after selling your assets won’t be enough to pay off your debts, this is where you can file for personal bankruptcy. Personal bankruptcy gives you a fresh financial start and has most of your debts wiped off.

What are the personal bankruptcy options available?

People declare personal bankruptcy for various reasons. Some may have suffered a disabling injury that spiked their hospital and medical bills, loss of employment and even an overwhelming credit card debt. Depending on your circumstances, you can either file for a Chapter 7 or Chapter 13 bankruptcy.

While declaring bankruptcy is a personal decision, you must enlist the help of an attorney who will help you find the best option as well as get your favorable results. You need to know how much you owe, the kind of debts you have, your current income and if you can pay off your debts if you don’t file for bankruptcy.

What You Need to Go Through Before Filing for Personal Bankruptcy

Before filing for personal bankruptcy, you need to go through credit counseling. This should be done within a 6 months period by an agency approved by a U.S. trustee.  In some cases, you also have to take a debtor education course before a bankruptcy discharge.

If you have debts you can’t easily pay off, consult a bankruptcy attorney who will advise you on whether to file for chapter 7 or Chapter 13. Additionally, he/she will help you fill all the necessary forms required to complete the process.