Is Bankruptcy Right For You?
Are creditors calling and harassing you day and night?
Are you at risk of losing your home to foreclosure?
Are you facing lawsuits or wage garnishments?
Have you recently lost your job, divorced, or had a reduction in income?
Have you had serious illness or injury and large medical bills?
Or, are you just way overextended in credit?
If you answered yes to any of the above questions then bankruptcy may be a right solution for
you. When bankruptcy was first created, it was meant to help the average person who may have
gotten hurt or hit with some hard times. It was never anticipated that an average consumer could
have access to “credit” equal to 10 times their monthly salary. For perspective, an average
consumer is given the power to spend up to 10 times what they make in one month. It is
unreasonable to believe that any sound financial plan allows for a “loan” of money that person
could not pay back within a year.
Today’s bankruptcy is more than the government’s way to help the person who has hit some
financial troubles. If you are overwhelmed with bills or are constantly harassed by creditors
calling, then bankruptcy may be the tool you need to stop the madness.. The bankruptcy laws
don’t just wipe away debt; they also institute automatic restraining orders which forbid the
creditor from contacting or collecting from you. If you have fallen behind on house payments
and are in risk of foreclosure, then bankruptcy may be right for you to ensure you can keep your
house. The bankruptcy laws may be able to adjust your loans by stripping away liens placed by
other parties or give the debtor some time to make his payments. If you have lost your job or
health has kept you from work, then bankruptcy may be right for you because the bankruptcy
process can give you the fresh start you need. If your house has fallen in value to the point where
it may not be worth keeping, then bankruptcy may be right for you because the bankruptcy court
will allow you to walk away from the properties so that you can start over.
In today’s turbulent economy where unemployment is high, housing values have dropped, and
the stock market has destroyed people’s hard earned savings, bankruptcy has become more of a
business decision instead of a move for desperation. The average person filing for bankruptcy
now includes investors who have one or two houses that no longer have any value and want to
get rid of the properties or the family who brought a house at a high value that needs to rework
their loans. It also includes the unlucky ones have always made their payments on time but have
gotten hurt or unemployed through no fault of their own and need a break from their debt.
Today, bankruptcy is also the answer to the good consumers who have suddenly found their
credit cards accounts closed with their interest raised for no apparent reason because the law is
on their side, if they know where to look.
The best way to decide if bankruptcy is right for you is to consult an experienced bankruptcy
attorney. With your attorney you will weigh all the pros and cons of your specific financial
situation before deciding. It is possible that only one spouse has to file bankruptcy to allow the
other spouse the ability to maintain good credit. It is also possible that bankruptcy may not be the
best tool because of the type of debts you have, or because your income or asset portfolio is large
enough where there may be alternative solutions to bankruptcy, such as debt settlements and
work-outs. Finally, many families may qualify for different types of bankruptcies - Chapter 7,
Chapter 13 - depending on what their goals are.
If you want to find out if bankruptcy is right for you, and which type of bankruptcy, please
contact Richard A. Schwager at 614-228-3727 for a free consultation. Schwager Law Offices
can assist you with all aspects of your case. We look forward to hearing from you!