Bankruptcy is something that can scare people, but it really shouldn’t. This legal path to eliminating debts can be a huge help to those in need. When your finances are out of control and debts are overwhelming, there’s no reason to turn away from the potential for a fresh start. That’s what bankruptcy offers you.
Bankruptcy is a good way to get back on your feet if you’re dealing with overwhelming unsecured debts. Some debts that you may be able to eliminate with bankruptcy include:
- Medical debts
- Private loans (unsecured)
- Credit card debts
Some debts that are unlikely to be eliminated include:
- Tax debts
- Student loans
- Child support
With the average American having a credit card balance of $4,293 and credit card debt surging past the $1 trillion mark in early 2019, it’s no surprise that people sometimes struggle to pay down those debts. It can be challenging to do so, and sometimes, life happens.
If you find that you cannot pay back what you owe, then bankruptcy might be a good option. There are a few kinds to choose from, like a Chapter 7 or Chapter 13 bankruptcy so that will be something you’ll need to think about as well.
No two situations are exactly the same. That’s why it’s a smart choice to speak with your attorney about how you can start paying down debts, consolidate what you owe or start a bankruptcy petition. With the right support, you’ll be able to get your finances back in order, so you can enjoy life without having to worry about collections calls, foreclosure or other threats to your security.