People file for bankruptcy for personal, and different reasons. Ever case is unique, and your needs are not the same as your neighbor’s needs. That said, there are some common causes of bankruptcy, and if you are unable to meet your monthly obligations as they become due, you should consider filing for the protection bankruptcy offers.
Three of the more common, or best, reasons to file for bankruptcy include:
- To stop a foreclosure: filing bankruptcy prohibits your creditors from taking any action against you to collect a debt and this includes foreclosing on your home. Many bankruptcy cases are filed in an attempt to save the family home, and keep a roof over your head.
- To stop a wage garnishment or other collection effort: if you are being garnished for a money judgment against you, have been sued for a past due debt, or are receiving collection calls and/or letters in an attempt to collect a debt; all of these activities are required to come to a halt the moment you file for bankruptcy. This can give you a break from harassing creditors, and give you a chance to figure out your next step.
- To get a fresh financial start: this is the stated purpose of the bankruptcy laws, and the Courts really do favor giving “honest, but unfortunate debtors” a chance to gain a fresh start financially. Bankruptcy allows you to eliminate certain debt, which will free up your disposable income to put towards things like your house or car payment, or other daily living expenses.
There are two main types of consumer bankruptcy, and making the determination as to which form of relief you qualify for requires the assistance of a trained legal professional. We have experience making this determination, and explaining what it means for you. Call our office today to learn more.
For more information about bankruptcy, contact us at www.DsouzaLegalGroup.com. We will help by coming up with solutions that work for you.