Should I File For Bankruptcy?
Financial problems lead to great stress and can disrupt one’s personal and family relationships, yet many people are scared at the thought of having to file for bankruptcy relief. This is exactly what your creditors want you to think. They do not want you to use your right under the law. They would much rather you pay the minimum monthly payment for the rest of your life at 20 to 25% interest!!!!!
Whether to file for bankruptcy is a very personal decision. Some people do not have any assets over and above what the law allows them to keep, even if they do not pay their creditors. If this is true of you, then you may not need a bankruptcy in order to protect your assets. Some people find it helpful to file a bankruptcy case anyway because their financial situation is causing them emotional distress or depression, or because they would like to free themselves of debt now, if legally allowed, and have their income and assets to themselves in the future. Also, some people may find that a bankruptcy is worth filing even if they do lose some of their assets. Throughout this section of the Consumer Bankruptcy Center, we try to help you decide if bankruptcy is for you. Considering Bankruptcy Checklist If several of the following apply in your situation, you might consider bankruptcy: • Your wages have been garnished or your bank account has been attached • Most of your debts are unsecure
Last updated: January 2008 A decision to file for bankruptcy should be made only after determining that bankruptcy is the best way to deal with your financial problems. These materials give you a short explanation of bankruptcy. If you still have questions after reading it, try to get more legal advice. Search the “Helpful Organizations” section below to find free legal help.
