Those who are struggling to handle rapidly mounting debt should take a moment to consider filing for bankruptcy. However, this is not a decision that should be made lightly and there are numerous considerations that need to be made. While there are five things that you need to look at, let’s start with the most crucial aspect:
Deciding Whether Bankruptcy Is The Right Choice For You
If you are someone who has been sued for unpaid debts or you are in danger of having your wages garnished, chapter 7 bankruptcy lawyers dallas is probably the right choice for you. But you must consider your long term financial prognosis before making the choice to file. Knowing your financial goals for the next few years will help you make the correct decision.
From there, you’ll need to take a closer look at the following factors:
- Possible Alternatives
Bankruptcy should not be looked upon as a magic wand that will make all of your debts vanish. When you are considering filing for bankruptcy, make sure that you have explored every possible alternative. If you are unaware of what your choices are, speak to a certified credit counselor. Before you bring in the big guns, you should have exhausted all other options.
- Your Personal Debts
There are a number of debts that cannot be discharged by filing Chapter 7 or 13 bankruptcy. Tax liens typically persist after bankruptcy has been filed, as well as student loans obligations and any debts that are related to back child support or alimony payments. Creditors can simply object to your requests in these instances and they are likely to win. Find out if your debts are eligible to be discharged before filing.