Filing Bankruptcy
Author: Natalia Kobseva
Those who are faced with the overwhelming fact that their debts have grown to such a large amount that they might have to file for bankruptcy might not have a clue about how to go about this course. The first and foremost step to take is to put your bankrupt status on paper by filing for bankruptcy through the bankruptcy court. But how exactly does one go about it?
How Do I File Bankruptcy?
First of all, you should keep in mind that filing for bankruptcy is a legal process. For this reason, and for your own financial wellbeing, each decision that you make about bankruptcy should be well informed choices. That is to say, is this process something you want to take up on your own, or do you want a professional to help you? It is possible to file for bankruptcy on your own; however, it is a process that would take a lot of patience and diligence.
Chapter 7 or Chapter 13?
If you decide that you want to file for bankruptcy on your own, the first decision you have to make is which kind of bankruptcy you should file for: Chapter 7 or Chapter 13? Once again, these decisions cannot be made fast. So it would be a good idea to visit your local library and talk to a few people who might know more technical information about filing for bankruptcy.
Yes bankruptcy is not a quick solution to financial woes. It is an extreme move to be taken after all other options are exhausted.
After declaring bankruptcy, you would find it difficult to get any type of credit or financing at decent rates for a long time after filing. You would have to start from scratch to build your credit back up again, and it will be a long and possibly painful process. But in spite of the serious drawbacks associated with bankruptcy, more and more people seem to be filing as a first option rather than as the last alternative. This can be unwise. Bankruptcy should be the final step after all else has failed.
To learn more about debt relief, the federal debt relief program, and how to get started, please visit: DebtRelief.bz
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When can a person buy a house after filing for bankruptcy and get good interest rates?
What kind of rates could I get on a home loan 2 years after filing bankruptcy with my spouse?
how can i lower my credit debt or get my interest rates lower so i can prevent from filing bankruptcy?
i have excellent credit but my payment are eating me up alive….my income has decreased and i am barley surving but having to pay exorbant interst rates …i have to have an unsecured loan any suggestions
How can I repair my credit rating after filing bankruptcy?
How can I repair the damage? Is there a way to improve my credit rating faster? I filed bankruptcy almost 2 yrs. ago.
Which would be worst for my credit rating? Not paying my bills or filing bankruptcy?
I am recently retired and my income can not be toughed. I do not have to file bankruptcy (income can’t be touched), but want to know which option would be the least damaging to my credit rating if there is any difference.
What you need to do is debt stacking. Right now your primary objective is the free up cash flow.
So What you need is to take the lowest balance and pay as much as you can on it while paying minimums on the rest. Then once that is cleared use the extra money to pay down the next balance except focus on the one with the highest interest rate. If I had more information on your balances and interest rates I could give you better advice.
7-10 years after it falls off your credit report.
Hey,
Just to let you know it does take 2 yrs to not be considered in terms of taking out a mortgage. So that is one plus. Some other things to consider is what your credit scores are up to now– you can check what is reporting on your credit for free but to get the scores you need to pay ( i see them for about $12) . Another factor is you and your husbands income. Then if you have a down payment on the home. Usually, you want to shoot for 20% to avoid MI, but if you are still below 620 credit (middle score) you will be in the subprime so do not worry about MI (mortgage insurance). I would suggest not applying for multiple credit cards or trying to buy a car prior to applying for a mortgage because these inquiries will negatively affect your credit score (bring it down) . Other than that if you have any questions feel free to contact me at babalooie21204@yahoo.com
Wasn’t this explained to you by anybody when you filed bankruptcy? You screwed several creditors out of thousands and thousands of dollars. Your credit will now be in the dumps for from 7-10 years since you filed. Congratulations.
Both, both will damage your credit the same. How about getting a job again to help pay the bills you ran up instead of making all those companies take a loss.