Deciding to file for bankruptcy is a difficult decision. Though, erasing your debt through bankruptcy may be the best decision you could make for your financial future. Once you are free from unmanageable debt, like credit card and medical debt, you will be in a better position to build an emergency saving and invest in retirement.
However, before deciding to file, it is important to understand how bankruptcy can help you, as well as its limits. The following are practical steps to take before filing for bankruptcy so you can feel confident in your decision.
Explore if bankruptcy is the right choice for you.
If you are deep in debt and considering solutions, we encourage you to explore all of your debt relief options. If you have a realistic option to get out of debt other than bankruptcy, then it is important to thoroughly explore that option. As you explore your options, remember that a true solution to your debt problem addresses all of your debts, not just a few of them.
Understand which of your debts will be erased by bankruptcy.
Dischargeable debts are debts that can be erased through bankruptcy, including credit cards, medical debt, personal loans, certain older tax debts, and some other types of debt. Discharged debts are erased forever and after a successful bankruptcy, you will no longer be legally obligated to pay these debts back.
Nondischargeable debts cannot be erased through bankruptcy, including student loans, spousal or child support payments, fines imposed from a government body, certain newer tax liabilities, debts resulting from illegal activity, and some other types of debt. Even after bankruptcy, you are legally obligated to pay back nondischargeable debts.
If you have debts that will not be erased, have a plan for how you will handle paying back those debts after bankruptcy.
Consult with a bankruptcy attorney.
The best way to know if bankruptcy is the right solution to your debt problem is to consult with a bankruptcy attorney. Many bankruptcy attorneys offer free consultations, so getting the important information you need will not cost you any money.
We offer free consultations to people in and around Savannah, GA. Call us at (912) 351-9000, contact us on the web, or email info@BrazielLaw.com.
Gather the necessary documents.
To properly assess your case and to prepare your bankruptcy petition, your attorney will need certain documents. Gather the necessary documents so that together we can review your specific situation when we meet for our free consultation.
Take the pre-filing credit counseling course.
You must complete the mandatory Credit Counseling course within 180-days prior to filing for bankruptcy. The purpose of mandatory Credit Counseling is to help you explore whether or not you need to file for bankruptcy.
Since the course is generally straightforward, inexpensive, and not too time-consuming, you can use it as a tool to explore if bankruptcy is the right choice for you. If you choose to file, then it is already completed. If you choose not to file, then it served as an inexpensive tool that helped you explore your personal finances.
Know that you deserve a fresh start.
You deserve a financial fresh start, and we’re here to help you achieve it. We’re here to help you take an honest look at bankruptcy. It is our mission to ensure that you understand the power and benefits of bankruptcy and how filing will affect you and your family.
For over 37 years we have proudly served the people in Savannah, Richmond Hill, Hinesville, Pooler, Port Wentworth, Tybee Island, Clyo, Ellabel, Midway, Springfield, Pembroke, Brooklet, Garden City, and Ludowici, Georgia.
We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.