Think that filing for Chapter 7 bankruptcy is the end of the world? While it is always best to get out of that hole you dug yourself into, sometimes that is just an unreasonable expectation. Many people are so weighed by their debts that even with an extra job, consolidation, and pure determination are still not enough to make a dent. So how do you know when enough is enough? Here are some reasons why it might be better for you to file for bankruptcy now rather than wait.
1. Emotional Wellbeing
Is your marriage threatening to dissolve? Have your other relationships, such as family and friends, suffered due to your finances? Are you feeling extremely depressed, physically ill, or overwhelmed to the point where you have difficulty functioning in your day-to-day routine? If any of this rings true, your debt may be destroying your social, emotional, and even physical health. It’s true what they say—money isn’t everything. If you are finding it more and more difficult to enjoy what you used to, filing will greatly ease your stress and fears. Life is too short to worry about bad credit.
2. Unrealistic
Before you start your Chapter 7 paperwork, you first must be assessed to see if you are even a candidate. The court has to decide that you cannot realistically pay off the debt you owe. You don’t need a judge to solve the riddle for you though. Look at your average salary and subtract the most basic needs such as rent, food, and healthcare. Whatever is left over should, in theory, be applied to debts. Even at your poorest, when you scrimp every penny and live off boiled noodles for years, you still can’t make a minimum payment, it’s time for bankruptcy. Your hole is too deep and will continue to get deeper.
3. Health Problems
if you’ve recently suffered from a traumatic illness or disability, you will likely need to take several weeks, months, or years away from work. Possibly even a lifetime. Not everyone who deserves it will receive financial assistance from the government either due to a number of reasons. In many of these cases, where debt was once manageable before, it is now not an option. Should you wait until you return to work to start your payments? Watching the late and interest fees accrue? Unless you are only incapacitated for a very short time, filing for Chapter 7 may be a viable option.
4. Time
How long should it take you to reasonably pay off debt? Disregarding large loans, such as student or medical, most bills should be able to be closed in under five to seven years. Anything longer than that can be a huge waste of time as well as interest money. You can always hope for that raise of better job, but in the meantime you will be draining your funds quickly. If it looks like your debt will take you over ten years to pay off, definitely consider filing for bankruptcy.
1. Emotional Wellbeing
Is your marriage threatening to dissolve? Have your other relationships, such as family and friends, suffered due to your finances? Are you feeling extremely depressed, physically ill, or overwhelmed to the point where you have difficulty functioning in your day-to-day routine? If any of this rings true, your debt may be destroying your social, emotional, and even physical health. It’s true what they say—money isn’t everything. If you are finding it more and more difficult to enjoy what you used to, filing will greatly ease your stress and fears. Life is too short to worry about bad credit.
2. Unrealistic
Before you start your Chapter 7 paperwork, you first must be assessed to see if you are even a candidate. The court has to decide that you cannot realistically pay off the debt you owe. You don’t need a judge to solve the riddle for you though. Look at your average salary and subtract the most basic needs such as rent, food, and healthcare. Whatever is left over should, in theory, be applied to debts. Even at your poorest, when you scrimp every penny and live off boiled noodles for years, you still can’t make a minimum payment, it’s time for bankruptcy. Your hole is too deep and will continue to get deeper.
3. Health Problems
if you’ve recently suffered from a traumatic illness or disability, you will likely need to take several weeks, months, or years away from work. Possibly even a lifetime. Not everyone who deserves it will receive financial assistance from the government either due to a number of reasons. In many of these cases, where debt was once manageable before, it is now not an option. Should you wait until you return to work to start your payments? Watching the late and interest fees accrue? Unless you are only incapacitated for a very short time, filing for Chapter 7 may be a viable option.
4. Time
How long should it take you to reasonably pay off debt? Disregarding large loans, such as student or medical, most bills should be able to be closed in under five to seven years. Anything longer than that can be a huge waste of time as well as interest money. You can always hope for that raise of better job, but in the meantime you will be draining your funds quickly. If it looks like your debt will take you over ten years to pay off, definitely consider filing for bankruptcy.
In Rockville MD Chapter 7 bankruptcy has helped countless local residents get back on their feet again after suffering from crippling debt. Don't wait another day: for more info, visit http://www.morganroselaw.com/.
{ 0 comments... read them below or add one }
Post a Comment