Filing for bankruptcy can help individuals and families going through financial distress achieve the financial relief they need so that they can start fresh with a clean financial slate. However, choosing bankruptcy as a debt relief option may impact various aspects of your life, including your assets, finances, credit report, and future interest rates.
Bankruptcy is a scary word. Many people think it means losing everything and starting over with zero, but that’s not the case. A Chapter 13 filing generally lets you keep everything. Even a Chapter 7 liquidation plan allows for generous exemptions so that you can often keep your home, your car, and other personal belongings.
When thinking about your financial future and the possibility of filing for bankruptcy, understanding what to expect and how to navigate the bankruptcy process is crucial if you want to protect yourself and avoid potential pitfalls.
If you are considering bankruptcy as an option to eliminate your debt, you are making one of the most important decisions of your life. These types of decisions are best made by being educated and informed.
Declaring bankruptcy is a major decision. More than 24,000 people in Georgia made the choice to file for Chapter 7 or Chapter 13 bankruptcy between April 2019 and March 2020. It’s unlikely that any of them made that choice lightly.
It is true that a Chapter 7 or Chapter 13 bankruptcy will appear on your credit report for years, but that does not necessarily mean filing for bankruptcy is the wrong choice. It could be the only way you can get back on firm financial footing when you are struggling with debt.
In 2019, more than 45,000 individuals in Georgia sought protection from creditors through bankruptcy filings. What led them to take this path other than the seemingly insurmountable amount of debt they're facing? Often, it can be to stop the seemingly endless harassing phone calls and letters from creditors.
Student loan debt in the United States now totals $1.5 trillion, with the average post-graduation debt reaching $29,800. According to the Federal Reserve Bank of New York, almost 11 percent of all student loans are at least 90 days past due.
In 2019, nearly 43,000 Georgia residents filed for Chapter 7 or Chapter 13 bankruptcy, seeking a fresh financial start for themselves and their families. Most of them didn’t make the decision to file easily. Even when debt is managed and cleared, bankruptcy leaves behind a poor credit score for years.
Your debts are overwhelming you, and you dread retrieving the mail to see another bill arrive, or answering the phone just to be bugged about overdue payments. Millions of Americans have found themselves in this position.
