Have you been thinking about filing for bankruptcy? If so, you should know that you’re not alone. In the United States, approximately one million people file for bankruptcy each year. Plus, there are at least another five hundred thousand who wonder if bankruptcy is the best solution for their situation. However, even though there are a large number of new bankruptcy filings each year, it’s not always the best option. Therefore, you should look at the advantages and disadvantages of filing for bankruptcy before doing so.
One of the benefits of filing for bankruptcy is that the filing can prevent collection companies and other bill collectors from sending you any threatening letters stating they are going to file a lawsuit. Filing bankruptcy will also prevent your creditors from calling you. Perhaps, the biggest advantage of filing bankruptcy is that it gets rid of many of the bills you are no longer able to pay quickly. However, many people are still able to keep their homes after filing bankruptcy. Plus, as soon as you file for bankruptcy, you can start the process of rebuilding credit.
Nevertheless, there are some disadvantages to be aware of, even if there are several benefits to filing for bankruptcy. One disadvantage of bankruptcy is that, even though it’s possible, it may be difficult to rebuild your credit at first. In fact, some banks will refuse to allow you to open a checking account or give you a small loan because you have recently filed bankruptcy. Also, if you file bankruptcy, you may find it more difficult to obtain certain jobs because some employers require you to pass a credit check before they will offer to hire you.
Filing bankruptcy isn’t for everyone, and it can take some time to decide whether or not it’s the right solution for you. However, if you’ve considered your options and would like to start the bankruptcy process or have any additional questions, you should contact Smeloff & Associates today. They have been assisting clients with their bankruptcy filings for more than twenty years, and would be happy to help you. Plus, they understand what a stressful time this is for you, so they offer free consultations, low flat rates, and payment plans to their clients.
