The idea of having to declare “bankruptcy” is scary. Our minds start to drift when we think of bankruptcy – to nightmare tales of solid business giants going belly up and celebrities losing everything. In an economy where living in debt is “normal” it’s hard to know just when to declare bankruptcy.
Are You in Danger of Having to Declare Bankruptcy?
While debt is scary, there are some ways to asses whether or not you need to declare bankruptcy, or if you just need to put some new practices into place. Working with a debt consolidation attorney, or a bankruptcy attorney can also help you suss out if declaring bankruptcy is an option for you. Here are a few questions to help you assess your financial situation:
- Are you only making minimum payments on your credit cards?
- Are bill collectors contacting you?
- Does sorting out your finances make you feel scared?
- Are you using credit cards to pay for necessities such as groceries and housing?
- Have you considered debt consolidation?
- Do you not know how much you actually owe?
How to Declare Bankruptcy
Admitting you need help getting out of debt can be hard, but you don’t have to face it alone. There are bankruptcy laws in place to help protect you – not just creditors, as it can sometimes seem. While debt can be overwhelming, not filing for bankruptcy might even more overwhelming. Filing for bankruptcy can help you get on the right foot to be able to move forward – debt free.
Work with a Bankruptcy Lawyer
Working with a bankruptcy attorney to determine if bankruptcy is a good option for you is a good first step. They will help you fully assess your financial situation. If it’s determined you’re a good candidate for bankruptcy, he or she will be able to help you fill out all the necessary paperwork and walk you through the procedure to get you back on solid financial footing.