Categories: Personal Bankruptcy

What Does It Mean to Declare Bankruptcy?

What does it mean to “declare” bankruptcy? Your bankruptcy law attorney will help you through the process.

Declaring bankruptcy is about more than just saying you are bankrupt and losing everything you have.  Bankruptcy is a legal process in which you will let the court know about your current financial status.

It’s not always easy to start this bankruptcy process though, and it can have long-term effects on your credit scores for years after the bankruptcy has been discharged. Working with a bankruptcy law attorney ensures the process is as smooth as possible and positions you for the brightest financial future.

If you’re considering bankruptcy as an option, make sure that you understand all of the risks involved before making any final decisions. There are many different ways to get out from under debt without having to declare bankruptcy, so be sure that you explore all of those options first.

Bankruptcy Offers a Fresh Start

What does it mean to declare bankruptcy? It means a lot more than just losing everything overnight. However, there is a chance that could happen if certain conditions aren’t met during the bankruptcy proceedings.

One of bankruptcy’s main goals is to help those in debt get a fresh start.

But to enjoy all of the benefits and get that fresh start you’re hoping for, you must understand your bankruptcy rights. It’s also important to explore other options before even considering bankruptcy as a solution.

The most common types of bankruptcy are Chapter 13 and Chapter 7. In a Chapter 13 bankruptcy, the bankruptcy court allows you to repay some or all of your debts in installments over a three-to-five-years.

In Chapter 7, most or all of your debt is eliminated through the bankruptcy discharge. This means you are no longer legally obligated to repay your debts. Creditors cannot pursue you for the money owed to them.

Why Should You Work with a Bankruptcy Law Attorney When You Declare Bankruptcy?

One of the most important things to understand about filing for bankruptcy is that it’s best to not do it alone.

Some people are tempted to proceed with the bankruptcy process without any legal assistance because it saves them money.

At least it appears as if they’ll save money before they begin the process.

The truth is, filing for bankruptcy without legal assistance can be very expensive. The initial investment you make upfront means you’ll have a bankruptcy expert helping you through the process.

They’ll assist you with gathering information, filling out paperwork, and submitting your documents to the court. They also provide assistance if problems arise or creditors question your debts. Finally, they’ll assist you in the aftermath of bankruptcy when you’re trying to build credit and re-establish yourself financially.

What to Do If You’re Considering Bankruptcy

When someone declares bankruptcy, they are essentially asking the court to help them reorganize their finances. This can involve a variety of different steps, depending on the bankruptcy type.

You should always retain a bankruptcy lawyer when filing for bankruptcy. You’ll likely have many questions and it is important to have an expert on your side.

If you are considering bankruptcy, it’s important to consult with an experienced bankruptcy law attorney. We can help you decide whether or not bankruptcy is right for you and if now is the right time to file.

For more information or to schedule a consultation, contact the Law Office of Robert M. Geller at 813-254-5696.

Published by
Law Offices of Robert M. Geller, P.A.

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