Personal Bankruptcy



The bad news is the good news. Personal Bankruptcy means that you will (hopefully) wipe your financial slate clean. There are some pros and cons of this action:

Pros of Filing for Bankruptcy

  • Your credit will begin from the bottom up.

  • Your debt will be erased if you filed for chapter 7, and lessened if you filed chapter 13.

  • You will be required to take a credit course to give you some tips on budgeting, and that may be a good thing now.

Careone Credit has a great reputation in helping it's customers through debt or bankruptcy. Unlike most companies online, they are highly rated with the BBB, and offer a money back guarantee that you can count on.


Cons of Filing
  • Your credit will be affected for 7-10 years.

  • Your chances of securing a loan, mortgage, or credit card are low for a period of time immediately following your filing date. This is a real pain when you are divorcing and may not be able to rely on someone else.

  • I highly suggest getting some information about your credit situation by using CareoneCredit. This is one company that is working to give consumers a break, working on a sliding scale, and empowering you to understand the options. I have worked closely with this group and am very impressed.

    You can learn a lot by reading the information on the CareOne website.


  • You will have to begin using cash, debit cards, and being more frugal with your money. (maybe this should be a PRO)?


Legalzoom's Bankruptcy fees are low compared to hiring an attorney, and the Legalzoom website is really easy to maneuver:

For some good information about bankruptcy and debt consolidation options, read articles at Debt-Consolidators.net

Read the second article in the Real-Divorce Bankruptcy Series.

Sitemap

Need a Divorce Lawyer?

You should definitely consult a professional before you decide on bankruptcy. You may wish to find an attorney who will help you with both the divorce and the bankruptcy, if that is your desire.





New! Comments

Have your say about what you just read! Leave me a comment in the box below.