When feeling unable to pay the creditors, the next best step seems to be filing for bankruptcy.
Once someone decides that, lots of bankruptcy questions arise.
A few frequent questions about bankruptcy and their answers are listed below:
1. Should I file for bankruptcy?
Well, it depends on your precise situation. The best answer to this question can only be given by
an attorney after analyzing your case. In some cases, declaring bankruptcy is a must, but in others, the
situation can be solved through other means.
2. What do I lose if I file?
If you file under Chapter 7, you will be able to keep what is considered essential for satisfying
the essential domestic needs. Real estate properties and assets in excess and will be liquidated in this
case. If you file under Chapter 13, you get to keep everything.
3. What about creditors’ harassment?
As soon as the debtor declares bankruptcy, creditors will not be allowed to continue asking him/
her for the money.
4. Will this affect my credit?
Bankruptcy will negatively affect your credit and will stay on the report for a few years.
5. Does filing for bankruptcy cost me anything?
It costs almost $300 dollars to file. Bankruptcy attorneys’ fees can even reach $2000, but only
they can provide professional help under the circumstances.
It is true that the best answers to bankruptcy questions can be given by a lawyer, but it is best
to be up to date yourself.