Bankruptcy and Debt Settlement

May 13, 2025

If you are like millions of Americans you have accumulated a lot of debt and trying to figure out the best way out. You are not alone. Many people in struggle to choose between bankruptcy and debt settlement. Both promise relief, but they work very differently. Only one of them truly protects you from lawsuits, wage garnishments, and years of damaged credit.

Debt settlement usually involves hiring a company to negotiate with your creditors for a lower lump sum payoff.

You make monthly payments to the debt settlement company for years.
They save up that money until they can offer a lump sum your creditors.
During that time, your debts typically remain unpaid and in collections.
Your credit score continues to drop.
There are tax consequences of debt settlement where you can owe more to the IRS
Worst of all, creditors can still sue you, garnish your wages, or send debt collectors after you even while you’re making payments.

In short: you’re paying faithfully, but there’s no guarantee you won’t get sued, and there’s no legal protection during the process.

Bankruptcy is a legal process, not a negotiation. When you file, the court gives you immediate protection through something called the automatic stay. This stops all collections, lawsuits, garnishments, and creditor harassment immediately.

Some benefits of bankruptcy include:

Immediate protection from lawsuits and garnishments
There are no tax consequences for discharged debt
Most clients see their credit score rise by 30–60 points within one day
You can often get a car loan in one week and a credit card in one month
Many people qualify for a mortgage in just two years
Your credit score can rebuild to around 720 relatively quickly
It doesn’t stop you from applying for government programs or getting a job

And contrary to what you might have heard, bankruptcy is not the end of your financial life it is the beginning of a fresh start.

For most people, bankruptcy offers more protection, faster results, and long-term savings compared to debt settlement. It’s a legal solution with powerful benefits and not a gamble with your future.

We offer free consultations with a bankruptcy attorney and convenient payment plans. No pressure, just honest answers to your questions and concerns. Visit our website

Inflation and bankruptcy

February 11, 2025

If you are feeling extra financial pressure over the past couple of years, you are not alone. Inflation and bankruptcy go hand in hand. Bankruptcies are on the rise in the United States since 2023. While multiple factors have contributed to this increase, one significant factor is rising inflation following the pandemic. As prices for basic goods and services soared as the American economy started up again, many households found it hard to make ends meet and the need to rely on credit.

Professional analysts ( Newsweek )predict that the elements that caused the increase will continue and the number of bankruptcies this year might well exceed the 445,186 filed in 2023 by individuals and businesses for the following reasons:

Inflation’s effect on families — while the rate of inflation has slowed a bit, prices continue to go up, making it more expensive for families to afford basic necessities like housing, food, healthcare and transportation. As the cost of living increases, individuals and families may resort to credit cards or loans to cover expenses and accumulate debt that becomes increasingly difficult to manage.
Increased business costs — in addition to its impact on personal bankruptcies, inflation can trigger a ripple effect that affects companies and their workers. Businesses facing higher costs might be forced to raise prices or lay off employees or delay raising salaries.
Winding down of pandemic stimulus — to deal with the economic devastation caused by the pandemic, the federal government spent trillions of dollars on a wide range of relief measures, such as rent relief and Paycheck Protection Program loans. As the crisis subsided, these expenditures have gradually gone away, removing key safety nets and causing problems for individuals and institutions that relied on these measures.
Inflation and bankruptcy directly affect consumers. As prices rise and the buying power of the dollars slips people are forced to rely on credit more and more. If you would like to discuss your bankruptcy options feel free to visit our website: http://www.massbklaw.com

Bankruptcy Filings Increasing

August 24, 2024

U.S. bankruptcy filings surged by 18% in 2023 on the back of higher interest rates. Tougher lending standards and the continued runoff of pandemic-era backstops, data published Wednesday showed, although insolvency case volumes remain well below the level seen before the outbreak of COVID-19.

Total bankruptcy filings – encompassing commercial and personal insolvencies – rose to 445,186 last year from 378,390 in 2022.

Commercial Chapter 11 business reorganization filings shot up by 72% to 6,569 from 3,819 the year before, the report said. Consumer filings rose 18% to 419,55 from 356,911 in 2022.

For the final month of the year, total filings dipped to 34,447 from 37,860. In November, though they were up 16% from a year earlier.

Bankruptcy case counts are expected to keep climbing in 2024. Though there is still some distance to go to top the 757,816 bankruptcies filed in 2019.

“As anticipated, we saw new filings in 2023 increase momentum over 2022. A significant number of commercial filers leading the expected increase and normalization back to pre-pandemic bankruptcy volumes,” said Michael Hunter, vice president of Epiq AACER. “We expect the increase in number of consumer and commercial filers seeking bankruptcy protection to continue in 2024. Given the runoff of pandemic stimulus, increased cost of funds, higher interest rates, rising delinquency rates, and near historic levels of household debt.”

When To File Bankruptcy

November 8, 2022

When to file bankruptcy. Many people listen to financial gurus who recommend when to file bankruptcy only as a last resort. The problem with this is that many people do everything they can to avoid bankruptcy (including selling valuable assets that would otherwise be protected), only to end up bankrupt anyway.

Take for instance a friend of mine named Joe. Joe was told by his family and friends that bankruptcy was the worst option possible. That filing chapter 7 would scar his reputation and credit report for years to come. John knew that bankruptcy shouldn’t be taken lightly, and he was very prudent to study his options carefully before making a decision when to file bankruptcy.

However, even though he felt that he needed to file Chapter 7, he was too ashamed and too timid to go against his family’s advice and decided to go with some other options instead. He obtained a home equity loan to pay off some of his credit card bills. When that wasn’t enough to cover all of his debt obligations, he decided to take money from his retirement.

The sad news is that this was not enough to pay all of Joe’s financial obligations including credit card bills, medical bills, and other debts. When all was said and done, he was still bankrupt and now had no retirement funds and he sold a lot of his assets. He had also lost a significant portion of equity in his house, and his house was on the line if he cannot pay back the bank loan because he could not decide when to file bankruptcy.

Although this might seem like an extreme scenario, the point is that bankruptcy should not be viewed only as a last resort. It can save some valuable assets from creditors. Your home is often protected by a homestead exemption clause in Massachusetts. Pension plans and retirement funds are usually also protected. If you would have to put at risk your valuable assets that would otherwise be exempt from liquidation, then you need to consider Chapter 7 very carefully.

Likewise, you need to ask yourself how long it would take to pay off your current bills. What kind of lifestyle you would have. If you can live a reasonable standard of living while paying off your debt in the next few years, you should at least sit down with a bankruptcy attorney and discuss your options. Call us today for a free consultation or visit our web site www.massbklaw.com

Article Source: http://EzineArticles.com/2756529

Posted in Somerset MA

Time To File Personal Bankruptcy?

November 8, 2022

Most people don’t know when is it time to file personal bankruptcy, even when debt issues are growing and growing, causing them to lose sleep, affecting their relationships with others and threatening their mental and physical well being. It is common for people in debt to think they just aren’t trying hard enough or that if they can just get that better job or get a particular debt paid off they’ll be in better shape. Meanwhile, past due balances and high interest rates, penalties and fees continue to grow and grow and cause the problem to get worse and worse and you know it is time to file bankruptcy.

It’s often difficult for people to see that it’s time to file bankruptcy. People in debt may think of filing bankruptcy as giving up (which is simply not true) or think it’s not bad enough to consider bankruptcy just yet. Often they may be afraid of losing important assets like their home or car which is almost always not true. Often people take advice from family and friends and search the internet for answers and get more and more confused. However, when bankruptcy is in order it’s important to get it done before the situation gets worse. Below is a list of indicators that strongly suggest that bankruptcy should be considered as an option and a consultation with a Massachusetts bankruptcy lawyer may be beneficial.

Indicators that it may be time to file for personal bankruptcy

Financial problems are like an illness or a disease. The more symptoms a debtor suffers the greater likelihood that filing for bankruptcy is in order. It is really no different than going to a doctor when your symptoms start becoming more and more serious. Most individuals and families who can benefit from filing for bankruptcy experience several of the following:

The financial hardship keeps getting worse and worse — interest rates and penalty fees and other factors exceed the payments you make and cause your debt load to increase in month rather than decrease
Can’t afford payments that will pay off debt within three years (36 months) — if payments are too low, interest rates and penalty fees can keep a debt going on forever so a debtor can’t get out from under it; debtors should be sure to include future interest when calculating how much it will take to pay a debt off in three years
Borrowing to make debt payments — this is like trying to put out a fire by throwing gasoline on it, yet many debtors resort to this just to get aggressive creditors to go away even if it’s just temporarily
Can’t afford to pay minimum payments on all credit cards, loans and other debts — sometimes it’s not the size of any one debt or the size of the required payment for a single debt but rather the impact of many debts piled together; failure of a debtor to make minimum payments on all his/her debts will cause penalty fees and interest to accrue until the debt load is out of control. Paying on some debts while ignoring others is a strong sign that bankruptcy might be an option
Paying debts with retirement funds — the closer a person is to retirement the worse of an idea this is, yet seniors, who can least afford to jeopardize their retirement income, are those most likely to do so to avoid bankruptcy because of the stigma this generation traditionally puts on bankruptcy. Retirement money is protected in bankruptcy for a good reason which is that you will need it someday. Using retirement funds usually on puts a Band-Aid on the situation and only provides temporary relief. The stigma of bankruptcy is all but gone. No one will really know that you filed unless you tell them
Others will suffer if situation continues — the more dependants a debtor must provide for, the less they can afford to make payments to credit cards and other unsecured debts rather than save money for emergencies or pay for health insurance; if any single symptom can indicate a need for bankruptcy, this one is it, yet trying to continue making those payments could result in foreclosure or eviction and everyone ends up without a home. When you feel as if you are one financial problem away from disaster you should consider a free consultation with an experienced bankruptcy lawyer
Creditor collection calls threaten employment — if a creditor calls to garnish wages for a judgment and upsets your employer, the debtor may be in jeopardy of losing his/her job, which will make it impossible to keep up with any of their debts. It is common for employers to get nervous about your employment at their company if you start receiving collection calls at work. Your employer could look to the person with financial trouble if money or property is missing
Other options are not available, practical or helpful — insufficient income, poor credit scores and other factors put options like debt settlement programs, consolidation loans, negotiating with creditors, loan modification, lifestyle changes, or gifts from relatives out of reach, but they should be considered before filing for bankruptcy. People in debt can only cut back so much. When a person in debt starts buying less food and having insufficient insurance on their vehicles to save money it is an indicator that bankruptcy may be an option and that it is time to file bankruptcy.
Upside down on their home with a second mortgage and/or equity line of credit — many debts secured by real property will survive a foreclosure and the debtor will still owe any remaining balance after the property is sold and proceeds subtracted from the balance; bankruptcy, however, can completely discharge these debts

The Next Step Is To Call A Bankruptcy Attorney For A Free

Anyone who suffers any of the above symptoms, or a combination of 2 or more, should strongly consider filing for bankruptcy. The next step is to consult with an experienced bankruptcy attorney who can help the debtor confirm that bankruptcy is the best solution. If it is, the attorney will file the case in court and notify creditors, which will put a stop to all collection efforts until the bankruptcy process is complete or the bankruptcy court lifts the stay.

In Massachusetts, bankruptcy and debt solutions attorneys Robert Simonian and Anthony Bucacci can assist in identifying the best options and solutions for your situation and put a plan into action that will resolve your debt issues and get you back on your feet. Call our office at 508-673-9500 to schedule a free consultation today or visit us at www.massbklaw.com

BANKRUPTCY – UNDECIDED OR UNSURE WHAT TO DO?

Talk To Us About Your Options:

We always tell potential clients to talk to us first to see if bankruptcy is in their best interest. The consultation is always free. Talk with Attorney Robert Simonian or Attorney Anthony Bucacci in private and in total confidentiality to see if filing bankruptcy in Massachusetts is right for you.

We can almost always come up with a solution to your financial problem when it is time to file bankruptcy. We have filed over 10,000 cases in the past 26 years and there are very few scenarios that we have not seen. We are known for our hard work, diligence, creativity and problem solving abilities. Often we are the bankruptcy attorneys other attorneys come to with difficult cases. Call today to see what we can do for you and what options are available. Often people believe they are the only ones with financial problems and are embarrassed of their situation. This is simply not true and many famous people have had to file for bankruptcy to get a fresh start.

Why Call Bucacci & Simonian:

We are known as one of the best bankruptcy attorneys in Southeastern Massachusetts serving the Bristol County and Plymouth County areas. Please inquire with anyone as to our reputation. Reputation is everything and we are very proud of ours. We have received numerous awards from various agencies and courts including the Bankruptcy Court in Boston, Massachusetts.

Using our knowledge and skill we have had several clients complete their five year Chapter 13 bankruptcy plans where they own their home FREE & CLEAR OF MORTGAGES. We understand how important it is to save clients’ homes from foreclosure, keep their cars from being repossessed and stop creditors from suing them and attaching their wages or attempting to seize their assets. This can be stopped almost instantly and we make every effort to be very available to your clients and can accommodate emergency situations. One of our most famous cases involved saving a clients’s multi-family home. https://www.courtlistener.com/opinion/1863802/in-re-brizida/

What to Avoid:

Do not attempt to file for bankruptcy on your own. You can make your situation much, much worse. If the bankruptcy petition is not correct you could lose your home, your car or possessions or you could be asked to file a different kind of bankruptcy where you have to make monthly payments when it could have been avoided. If you are not properly represented a bankruptcy trustee may foreclose on your house, allow your car to be repossessed, seize a tax refund or other assets. You could file under the wrong chapter, apply the wrong exemptions, fail to file all of the necessary forms or not understand the significance of important forms.

Protect Yourself:

Call us today for a free and complete bankruptcy consultation. We can protect you from your creditors and protect your home, cars, jewelry and other assets. Creditors and collection lawyers have a job to do and it may seem that they are heartless and will take anything they can from you. They are represented and you should be too. Call us today. The Federal Bankruptcy Court indicated that seeking the advice of a qualified attorney is strongly recommended. https://www.uscourts.gov/services-forms/bankruptcy/filing-without-attorney

Warning Signs Leading To Bankruptcy?

November 8, 2022

This is not a complete list however the following are warning signs leading to bankruptcy. If one or more of the following apply to your situation you may want to consider consulting a bankruptcy lawyer.

Warning Sign #1: You Consistently Spend More Than You Earn

This is one of the main reasons because it is the most frequent warning sign that could lead to bankruptcy filing. Many people have to file bankruptcy because they do not manage their money in any real way. Often people use their debit card and spend their weekly pay check and never accumulate any savings. When an emergency arises such as a medical bill, car repair, house repair, etc. they do not have the money to pay for it.

It is good to set up a budget an make sure you stick to it. Make sure there is money set aside each week in a savings account so if an emergency arises you are not put in a dire emergency. People often ask what are some of the warning signs leading to bankruptcy.

Warning Sign #2: You Rely On Credit Cards For Emergencies

It is important to have an emergency fund set aside for the unexpected. An unexpected car repair can disrupt your life. If you do not have the funds set aside and have to use credit you will find yourself paying for that repair for many months to come. Also you will be paying much more than the initial cost of the repair because of the high interest rates. Now you have an additional monthly payment which means less money for your regular expenses and you may find yourself in the downward spiral of using credit to make ends meet. It is very easy for the “domino effect” to start if another major unexpected expense comes up before the first was paid for.

Warning Sign #3: You Put Off House Repairs or Car Repairs or Buying Necessary Clothing or Necessary Medical Care Due to Lack of Money

If you find yourself having to put off expenses such as house repairs, car repairs, medical treatment, dental treatment, medicine, therapy or something that you need but just cannot afford at the moment you may be heading for financial trouble.

Not only does it cause financial trouble but putting off a necessary expense tends to make the problem worse and worse and something that could have been resolved for $500.00 will now cost much, much more and cause more damage in the end. You may be forced into a situation where you must use credit now and the downward spiral begins.

Warning Sign #4: You Have No Extra Money to Have Fun With

Let’s face it. It is no fun working if you cannot enjoy yourself now and then. However, if you find yourself in the trap of paycheck paying bills and credit cards being used for living expenses you will not have any discretionary money to enjoy yourself once in a while. Again, you may find yourself using credit for the times when you want to have a little fun however it just makes yours situation worse and worse and can lead to depression or feeling like you did not enjoy the time off because you know you will be paying for it over the weeks and months to come.

Warning Sign #5: You Feel Worried, Anxiety or Stressed About Money

It is no secret that financial distress clearly causes mental and health problems. If you’re always thinking or concerned about these warning signs that could lead to bankruptcy, it’s not too late and you should consult with a bankruptcy lawyer. Filing bankruptcy will get all or most of your debts discharged and you can begin your fresh financial start in life. Call us today or visit our website.

Social Media And Bankruptcy In Massachusetts

November 8, 2022

Social Media And Filing Bankruptcy in Massachusetts

Many people share personal details of their lives on social media. Social media and bankruptcy in Massachusetts may have consequences. Post like vacations they take, places they shop, purchases they make, the car they drive and even what they wear. This kind of sharing can sometimes have legal consequences. One example would be an angry post about a soon to be ex spouse could cause problems in a pending divorce. Also, posts that exaggerate your financial situation could cause you problems in bankruptcy. It is never wise to post information that exaggerates your lifestyle before, during or after filing bankruptcy. Viewers of your post and creditors could misinterpret it and use it against you. One example shows just how problematic things can be when you are not careful on social media. Social media and bankruptcy in Massachusetts should be taken into consideration when filing bankruptcy.

Bankruptcy Filing and Social Media Problems

In 2015, the musician 50 Cent filed for Chapter 11 bankruptcy protection. During his bankruptcy he posted several photographs with a lot of money. He displayed a stack of money in his freezer. 50 Cent also posted a photograph of himself surrounded by piles of cash on a bed. He claimed the bills were props, such as those used in music videos. The creditors and the bankruptcy judge were not impressed and not amused by those pictures.

According to the New York Times, 50 Cent stated that the postings were important to maintaining his image and for promotion of his music. This made it difficult to determine whether he was hiding assets or money. This made it difficult to see if he was telling the truth. His creditors now asked to revalue his assets. The bankruptcy judge asked him to reappear in court. Social media and bankruptcy in Massachusetts can have consequences.

Fortunately he received a large settlement from a lawsuit and was able to pay off his creditors in a short period of time. As you can see, it can be dangerous to post on social media if you are going through bankruptcy.

Be Careful What You Post and Share

Creditors do not know anything about you. People who do not know you can easily misinterpret your social media posts. Pictures of a business trip could be seen or interpreted as a vacation when posted on social media. Visiting a relative out of state for an emergency can look like a vacation. Eating at a fancy restaurant for a family event could look extravagant. Be careful of what you post on social media before and after filing bankruptcy.

If you are considering filing bankruptcy in Massachusetts you should consult with an experienced bankruptcy attorney. It is not wise to take advice from friends and family. Also, trying to sort through the information on the internet could get you in trouble. A lot of the information on the internet about bankruptcy is very general and can easily be misinterpreted. It is always advisable to consult with an experienced bankruptcy attorney. Call us anytime to discuss your options. You can also visit our website to schedule an appointment. The consultation is always free

BANKRUPTCY – UNDECIDED OR UNSURE WHAT TO DO?

Talk To Us About Your Options:

We can almost always come up with a solution to your financial problem. We have filed over 10,000 cases in the past 26 years and there are very few scenarios that we have not seen. We are known for our hard work, diligence, creativity and problem solving abilities. Often we are the bankruptcy attorneys other attorneys come to with difficult cases. Call today to see what we can do for you and what options are available. Often people believe they are the only ones with financial problems and are embarrassed of their situation. This is simply not true and many famous people have had to file for bankruptcy to get a fresh start.

Why Call Bucacci & Simonian:

Using our knowledge and skill we have had several clients complete their five year Chapter 13 bankruptcy plans where they own their home FREE & CLEAR OF MORTGAGES. We understand how important it is to save our clients’ homes from foreclosure, keep their cars from being repossessed and stop creditors from suing them and attaching their wages or attempting to seize their assets. This can be stopped almost instantly and we make every effort to be very available to your clients and can accommodate emergency situations. One of our most famous cases involved saving a clients’s multi-family home. https://www.courtlistener.com/opinion/1863802/in-re-brizida/

What to Avoid:

Protect Yourself:

Westport Swansea Somerset Raynham

November 8, 2022

There are a lot of misunderstandings about filing for bankruptcy. Credit consolidation companies can mislead people and credit card companies can mislead you so you continue paying high interest. Many people rely on information that was true 25 years ago or from friends who have heard something from someone. A lot of the information available on the internet is often very, very general and vague that it does not apply to over 95% of the cases and distorts the truth.

The following is a list of beliefs people have about filing bankruptcy that are SIMPLY NOT TRUE:

My Credit will be destroyed forever and I will never get credit again.
I will lose my house, my car and everything I own.
You can only have one automobile if you file bankruptcy.
If I have a car loan or a home mortgage I have to give up my car and home.
The whole world will know I filed for bankruptcy.
If you are married both husband and wife must file for bankruptcy.
Only bad people file for bankruptcy.
Filing for bankruptcy is too expensive and I can not afford a lawyer.
Even if I file bankruptcy I heard you have to pay everything back.
It is difficult to file for bankruptcy and they changed the laws to make it difficult.
I will never be able to own anything or have money in the bank after filing bankruptcy.
You can only file bankruptcy once in your lifetime.
You have to have some minimum amount of debt to file bankruptcy.
You can not discharge IRS taxes or State taxes in bankruptcy.
I will lose all of my future tax refunds.
I can be fired or lose my job if I file bankruptcy.

All of the above are common beliefs that people think are true about filing bankruptcy. They are simply NOT TRUE. It is important to speak to an experienced bankruptcy attorney for real answers to your questions. It becomes very difficult to make a decision when you hear all kinds of information from unreliable sources. We are available to accurately answer your questions and concerns anytime.

BANKRUPTCY – UNDECIDED OR UNSURE WHAT TO DO?

Talk To Us About Your Options:

Why Call Bucacci & Simonian:

What to Avoid:

Protect Yourself:

Twelve Reasons To File Bankruptcy

November 8, 2022

1) You get a fresh start. Filing for bankruptcy is powerful and useful tool which allows you to discharge all or most of your debts and usually keep all of your assets. This is one of the twelve reasons to file for bankruptcy. You get a “fresh start” with your life and you can begin again financially without the burden of being in debt and being caught in the never ending debt trap. It will no longer affect your everyday life and you will no longer live in fear and you can put your life back together quickly.

2) Usually your credit score will improve over and above what your credit score would be if you didn’t discharge these debts. By the time most people file bankruptcy they are so far behind in their credit card payments that bankruptcy will actually help improve their credit score. Since most people are unlikely to pay their debts off this results in a permanently low credit score. Your credit score will decrease immediately upon the filing of the case but when your bankruptcy is finished your debts will appear as “discharged in bankruptcy”. Those debts discharged in bankruptcy will then no longer negatively impact your credit score. You can now begin to rebuild your credit score with new credit. You will get credit card offers after the bankruptcy discharge so use them wisely to increase your credit score. These are 2 of the twelve reasons to file bankruptcy.

3) You get freedom – Shakespeare said “never a borrower or lender be” because as a borrower you become a slave to the lender. If you owe credit card debts then you are slave to those big banks to whom you owe money. You pay huge amounts of interests to these big banks every month to service your debt. These interest payments only serve to enrich very large corporations at your expense. Filing bankruptcy can serve to free you permanently from both the worry and the financial strain of continual and unrelenting debt and the stress of the collection actions.

4) You can keep all or almost all of your assets. Most people can retain all of their assets in a bankruptcy. That includes your house and your cars and everything else that you own. Many people think they will lose everything. We have very generous exemptions in Massachusetts that allow most people to keep everything they own including your house retirement accounts and cars.

5) You will get peace back in your life. When you file bankruptcy your creditors must stop calling you on the phone. Most of my clients have not answered their phone for some time before they actually consider bankruptcy. Filing a bankruptcy will stop all of these collection efforts with the miracle of the “automatic stay” that is put in place once you file bankruptcy. This automatic stay stops all creditors from contacting you in any way once they get notice from the Bankruptcy Court.

6) No one needs to know. Many people are afraid of bankruptcy because they think that their landlord or their employer will find out about their bankruptcy and they believe they can be evicted or lose their job. This is not true and you will still have anonymity if you file. You don’t have to tell anyone that you filed bankruptcy and probably no one will know unless you tell them. It is unlikely that this will happen though so your secret should remain safe. Your landlord will probably not be notified especially if you are on a month to month lease. Your employer need not know unless you already have a wage garnishment that needs to be stopped. You cannot be fired from your job or thrown out of your apartment or home because you filed bankruptcy if your employer or lenders or landlord do find out. Discrimination of this sort based upon a bankruptcy filing is illegal.

7) You have other things to do with your money- If you are like most people then you need the money you earn from working to pay for your own personal bills and pay for your family and their needs. You don’t need to give this money to these large banks. You don’t need to spend this money to enrich large banks for money you borrowed from them a long time ago.
If you earn less than is allowed in the means test then you can probably file chapter 7 bankruptcy and discharge your debts.

8) You have already paid the credit card companies back at least what you borrowed if not 2 or 3 times more than that. If you are like most of my clients then the debts that you owe are probably very old. You have probably been making payments on these debts for years. If that is true then you have already paid back the creditors their money. By the time most people file a bankruptcy they have already paid back all of the money they borrowed plus a lot of interest. Don’t make the mistake of feeling that you need to keep paying these companies when you cannot afford to do so and your quality of life keeps dropping. These are 8 of the twelve reasons to file bankruptcy.

9) Times are very tough and many people need to file more now than ever. The price of food and gas has gone up and up and inflation is taking a toll on household budgets. Times are very tough in this economy and it does not look like it will get better soon so explore the possibilities that bankruptcy offers you.

10) Personal bankruptcy is your bailout – Corporations file bankruptcies all the time including the credit card companies that you owe money to. They bail out with bankruptcy so why not you? In addition many banks have received government bailout money to keep them going. They then turn around and bother you for money. That is your money they are receiving from the government but they are not giving you any breaks.

11) The creditors absolutely will not stop trying to collect from you until you pay or you are dead or you file bankruptcy. They only know one thing and that is to collect your debt with all of the interest and penalties that they can add. They will continue to sell the debt to other collectors and these collection agents have a nationwide network. They buy, sell, and trade these debts but they keep trying to collect. They simply will not just go away but rather they wait until you have something they can take from you.

12) Your situation will probably continue to get worse and worse if you don’t file bankruptcy or pay these creditors. The collection efforts will increase in intensity and eventually the creditors will file a law suit. Many people try to put their heads in the sand and hope the debts will disappear. This is not the case though as the situation will only get worse. The debts will grow in size as interest and fees grow. Eventually some creditors will file suit and serve these on you. If you do not file at this point then you could get a default judgment against you and they will use this judgment to collect money from you. They can now lien your house and file a lien against you personally or garnish your pay check. Most liens can be removed in bankruptcy. You should contact a bankruptcy lawyer for filing chapter 7 or filing chapter 13 with an experienced bankruptcy law firm or bankruptcy attorney. Above are the twelve reasons to file bankruptcy.

Rebuilding Your Credit After Bankruptcy

November 8, 2022

REBUILDING YOUR CREDIT AFTER BANKRUPTCY

The most frequently ask question from our clients is “rebuilding my credit after bankruptcy?”

Chances are, that if you have made the decision to file a bankruptcy, you are at a point where some or all of your debts are behind, you receive collection notices or even law suits. At that point you probably have been making ends meet somehow without using your cards.

When you can’t obtain new credit with high debts you have to do something. This will prevent a creditor from granting you a new card or a loan unless you take action. Rebuilding your credit after bankruptcy becomes necessary in order to move forward in life.

You have now made the decision to obtain debt relief by hiring an attorney to file a bankruptcy. After you can begin rebuilding your credit with a bankruptcy discharge in hand.

Your attorney takes you through the process of filing bankruptcy and then, afterwards, the weight of those collection letters, collection call and law suits is gone.

After bankruptcy, there are many avenues to obtain new credit. First and foremost, when a bankruptcy is filed the person that filed can decide to keep a car with automobile loan or a house and a mortgage. Secondly, reaffirmation of those debts allows a bankruptcy filer to get on track immediately. Thirdly, the banks will record your mortgage payments to the credit bureaus. Once the attorney discusses reaffirmation of debts advice can be given accordingly. Attorneys will explain the process.

What if you do not have a car loan or mortgage to reestablish yourself?

Without any debt many credit card companies are willing to grant you a fresh start. Credit card companies offer decent credit limits. Favorable credit reporting usually increases credit limits and credit offers. Offers of new credit from credit card companies listed in the bankruptcy often surprise clients and then clients receive new credit.

Open a secured credit card. As a result, this will help to improve your credit. Deposit money in a bank account that issues you a secured card based upon the amount of your deposit. Lenders report timely payments and payment history to the credit bureaus.

In a short amount of time credit scores will improve. Lenders and credit card companies will extend credit.

It is not unusual for clients to obtain automobile loan months after bankruptcy. A mortgage is the most difficult type of credit to obtain after bankruptcy. Usually one to two years after a bankruptcy you can obtain a mortgage.

These are some techniques to obtain the fresh start you deserve and there are many resources available.

BANKRUPTCY – UNDECIDED OR UNSURE WHAT TO DO?

Talk To Us About Your Options:

We can almost always come up with a solution to your financial problem and help you in rebuilding credit after bankruptcy. We have filed over 10,000 cases in the past 26 years and there are very few scenarios that we have not seen. We are known for our hard work, diligence, creativity and problem solving abilities. Often we are the bankruptcy attorneys other attorneys come to with difficult cases. Call today to see what we can do for you and what options are available. Often people believe they are the only ones with financial problems and are embarrassed of their situation. This is simply not true and many famous people have had to file for bankruptcy to get a fresh start.