Understand Bankruptcy Before Starting the Process
Aug. 11, 2016
Deciding to file for bankruptcy is rarely easy. In fact, New York residents who are struggling with insurmountable debt may not even know where to start when considering if the process is right for them. This post will discuss some of the important issues a person may want to look into before filing for one of the personal bankruptcy options. However, readers of this blog should not rely on this information as legal advice and should consult with their personal bankruptcy attorneys for specific legal guidance.
Individuals who are thinking about filing for bankruptcy may first want to gain a good understanding of what paths they may take when beginning the process. For example, individual debtors often choose between Chapter 7 bankruptcy and Chapter 13 bankruptcy. Knowing what protections and drawbacks each form might present to a debtor can be good information to acquire during the bankruptcy planning phase.
Additionally, a debtor may wish to look into any non-bankruptcy options that may be available to him to help relieve his financial hardships. Bankruptcy is not without consequences and not all individuals are guaranteed to emerge from the process in a better financial place than where they were at its start.
Finally, debtors should understand how their property might be impacted if they choose to file for bankruptcy. Though some property may be exempt from the bankruptcy process through state and federal exemptions, not all debtors may be comfortable with the disposition of their property in the process of settling their obligations.
These are only a few of the considerations a debtor may dwell upon as he decides if bankruptcy is right for him. However, debtors do not have to make these deliberations on their own. Bankruptcy attorneys are useful resources for parties who wish to discuss their debt relief options.