It took some time, but you have finally come to the conclusion that your debt is to a point where you can’t handle it anymore. Life in Lawrence, KS isn’t enjoyable when you have a lot of debt hanging over your head. Now you want to find ways to make it go away, but you’re not sure of what option is right for you. Do you file a chapter 7 bankruptcy? Or do you consolidate your debt? What is certain is that you can’t ignore it as creditors are going to do what they can to get money from you.
Being at the point of considering a Lawrence, KS Chapter 7 bankruptcy means that there’s not enough money coming in, and there’s very little left over. In short, you’re broke. There aren’t any other options available to you that would help you pay down your debt in a reasonable amount of time as well. As a result, you’ve come to the conclusion that the best way to handle the problem is to file for bankruptcy.
Before you go ahead and file, you need to take a good look at your debts. In the event you have student loans, you won’t be able to discharge them in bankruptcy. The same goes for court ordered payments from a lawsuit or a divorce. If these issues comprise a majority of your debt, bankruptcy is not going to help. However, if your debt is largely consumer based, IE credit cards, car loan, mortgages, etc., then filing for bankruptcy can go a long way towards helping you recover.
A lot of preparation for filing is required, and almost all of it is done at the beginning. You have to fill out the means test, take a credit counseling course, find all of your financial documents and information, then put everything into the petition. While you fill out the petition, you have to make sure that you list your debts correctly (secured and unsecured) as well as exempting eligible assets. It’s a lot of work, and it’s always best to work with a lawyer to ensure mistakes aren’t made. Playing by the rules with the help of a lawyer increases the chance you’ll reach discharge without any fanfare.