When Should You File Bankruptcy?

September 9th, 2013 by Reed Allmand

What is a Bankruptcy Hardship Discharge?

Some people may wonder if there is a specific time you should file for bankruptcy protection.  Better yet, is there a good time to begin the filing process?  In most cases, it depends on personal circumstances in your situation. Each person has different needs and this makes each case unique.  Most who file are seeking to obtain the relief they need to manage their finances. In understanding whether you should file you should know how it will help you.

Talking with an experienced bankruptcy attorney is likely the first area you may want to review.  Other areas of concern that may influence your decision to file include the ability to pay bills, income, and getting clarity on which debts can be discharged.  Speaking with a bankruptcy expert can give clarity on whether you meet qualifications to file, how to protect assets from creditors, and other necessary actions you need to complete (credit counseling and financial management courses).

Filing for bankruptcy is an important step in gaining financial freedom, but you want to be fully informed about your options before finalizing details.  There are different bankruptcy chapters you need to review and know which one will provide the best solution for your situation.  If you are facing a lawsuit, bankruptcy may stop pending  legal actions including wage garnishment.

Other situations in which bankruptcy may be an option include pending repossession, foreclosure, or wanting the legal backing of the court system in developing a repayment schedule with affordable payments based on your income.  There are various details to review prior to filing but the more you know, the more likely you’ll receive favorable results.

Reference: http://www.nolo.com/legal-encyclopedia/considering-bankruptcy.html

http://www.abc4.com/content/about_4/gtu/story/Is-There-a-Good-Time-to-File-for-Bankruptcy/GfDchDwH_0m3BU7fxLIl_g.cspx

avatar

About Reed Allmand

Website

Allmand's vision is rooted in his own financially precarious childhood in Abilene "My father always had difficulty holding a job and supporting our family, so after my parents divorced when I was 12, my sister and I got jobs to help make ends meet," he recalls. "I remember what it felt like as a child to worry that our car would be repossessed or home foreclosed on."

View all posts by Reed Allmand

Subscribe

Subscribe to our e-mail newsletter to receive updates.

FAQ

Why do I need to submit a new wage order when I modify my plan

When we modify your bankruptcy plan we are changing your plan payments. This means that we have to get with your employer and change the terms and amount of your wage order. The only way we can do that is by filling out a new wage order form.  

Learn More
What happens if the stay terminates on my home?

If the bankruptcy stay terminates on your home that means that even though your in bankruptcy, your creditor can pursue all there legal remedies they can pursue if you were not in bankruptcy. This includes foreclosure, and having your house sold and evicting you from your house.

Learn More

Find Location

map
  • Dallas Bankruptcy

    5646 Milton Street, Ste. 120 Dallas, Texas 75206
  • Fort Worth Bankruptcy

    860 Airport Freeway, Suite 401, Hurst, Texas 76054
  • More Locations

Meet Our Clients