Effects of Filing for Bankruptcy
Bankruptcy Attorney in Chino, California Explains the Pros and Cons
If you are considering the option of bankruptcy for your future, it is important to have skilled and experienced representation on your side in order to thoroughly evaluate your situation in order to determine if this is the best option for you. At the Law Offices of David R. Gunnin, we understand the difficulties associated with your situation, and we can help you understand some of the various effects of filing for bankruptcy. These effects can be both positive and negative, and while there are some serious adverse effects, bankruptcy should not be avoided altogether.
Positive Effects of Filing for Bankruptcy
The most immediate positive effect of filing for bankruptcy protection is that it will stop creditor harassment. You will no longer have creditors calling you, sending you threatening letters, or bothering your neighbors and loved ones. Filing for debt relief will also halt any judgments against you and will help you avoid repossession and wage garnishments, as well as state or federal tax levies. Another benefit is that this will give you more time to come up with a plan if your home is in foreclosure.
Negative Effects of Filing for Bankruptcy
Filing for the protections provided by bankruptcy will immediately put a negative mark against your credit. It will be difficult for you to get credit cards or home, school, personal, or business loans. Seeking relief now also means that you will be unable to seek financial relief again for several years. It is important to weigh the pros and cons of this option and that you make an educated decision regarding your future.
Let us fight for your future!
It is important to know that most often creditors are willing to provide you with lines of credit that will initially have high interest rates. Once your credit is in better condition, those interest rates will go down. Although you may have to work to make life after bankruptcy beneficial for you, it is possible for you to start anew. Continuing to suffer from overwhelming debt will only harm you unless you take decisive action. Let our firm work with you to pursue the results that you need.