Are you considering filing for bankruptcy but do not know how it could help you? At The Law Offices of John E. Mufson, we believe that it is essential to understand why you are filing for bankruptcy. We even offer a free case evaluation to help you understand how it can specifically affect you. There are many alternatives to bankruptcy, such as loan modification and debt consolidation, but no option provides you with the same benefits as bankruptcy.
What are the advantages of filing for bankruptcy?
Some of the advantages of filing for bankruptcy include:
- Creditors are forced to accept the terms of bankruptcy
- Unsecured debts are eliminated
- You are not subject to taxation for your discharged debts
- An automatic stay will protect you from garnishments, repossessions, and foreclosure
- Places an immediate stop to creditor harassment
For individuals with unmanageable debt, bankruptcy is a way to help reduce and eliminate the unsecured debts, including:
- Credit card debts
- Medical bills
- Utility bills
- Some taxes
- Personal loans
If you are looking for a way to get out of debt, bankruptcy can be an excellent option. The bankruptcy process is generally fast, depending on the type of bankruptcy you choose, and can be very effective. As soon as the bankruptcy process is completed, the debtor can focus on rebuilding his or her credit.
Effect on the Debtor’s Credit
Filing for bankruptcy will have an impact on the filer’s credit, which is typically already poor because of high debt, but it can be rebuilt after bankruptcy. With the implementation of practical, responsible, and effective financial practices, bankruptcy can actually have an eventual positive impact on your credit. Bankruptcy can help debtors get started on the rebuilding of their credit more quickly. If you are in need of assistance through the bankruptcy process or you wish to find out how this process can personally help you, call us. Contact our Palm Beach County bankruptcy attorney today!