The debt is piling up. The creditors are calling daily. The late fees and interest are going to make sure that debt never gets paid off. There is constant worry that you can’t generate enough money to cover your debts.
Is it time to declare bankruptcy? This is a very important decision, and making the right choice is crucial to being debt free and working toward the future. Before choosing this option, know what is required.
Declaring chapter 7 may be the option for you. This may allow you to repay most of your debt through a trustee who would handle your finances. The trustee’s job is to make sure you are paying off your debt. If you find this is the right choice for you, there are requirements in order to have your debt discharged.
After consulting with an attorney, you will be required to attend a credit counseling briefing. Once you file bankruptcy, you will also be required to meet with a debt counselor to ensure that you have a solid plan for getting your financial affairs back in order.
Most courts have other legal requirements you’ll have to meet to file for bankruptcy. In some cases, your debt must be within the court’s guidelines. To file chapter 13, you must have a source of income. Some people will have to liquidate or surrender assets as part of the process.
If you have questions about the legal requirements, meet with an attorney who can help you understand your legal requirements. While this costs money, it can help you avoid mistakes that may prevent you from getting your debt discharged.
