3 Reasons You Should Consider Filing Bankruptcy | Law Cases & Case Briefs


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3 Reasons You Should Consider Filing Bankruptcy

August 19, 2015   Legal

Filing for bankruptcy can be the best decision in some cases, because it can save you time and money. Although it may seem like a scary though, many companies, people, and business have to file for bankruptcy at some point. There are three reasons that you should consider filing for bankruptcy.

It can prevent your house from being foreclosed upon.

If you find that you are very far behind on your home payments and could be facing foreclosure, get legal help. Filing for Chapter 13 bankruptcy will stop the foreclosure and ensure that you have somewhere to live and that your family does as well. This will also get you set on a payment plan that is structured for you, so that soon you will be able to catch back up on your payments and work yourself out of that hole.

It can prevent your property from being repossessed.

Like with home foreclosure, you may fall very far behind on your car payments, in which case the creditor may come and repossess and eventually resell your car. Filing for bankruptcy can prevent this from happening or get you your car back, and again set up a plan for you to catch up on missed payments. This may mean spreading bills out over a long period of time, or lowering payments because the value of the car has depreciated over time.

Filing for bankruptcy can eliminate credit car debt.

Many Americans find themselves in an obscene amount of debt to credit card companies and find that they cannot make the payments on their cards. Bankruptcy can eliminate most or all of this variety of debt, and what is not eliminated is paid back with as low as zero percent interest. A structured plan will also help you pay back that which is not eliminated, and it can help you get on your feet and end those harassing phone calls.

Filing for bankruptcy can be a scary prospect, but sometimes it is absolutely necessary. If you find yourself in any of the above situations, you should consider getting legal help to begin the process of filing for bankruptcy. These three reasons should be a warning that it may be necessary and helpful for you to file.