What Are The Pros And Cons Of Filing Bankruptcy?
What are the pros and cons of filing bankruptcy?
When people think of bankruptcy, they often think of the most extreme cases—people who are in so much debt that they can never pay it off. However, bankruptcy is available to anyone who feels like they're drowning in money problems and would like to wipe their slate clean. It's an option that can save you from having to give up your house, your car, or even your job. Here are some of the biggest pros and cons of filing bankruptcy:
PROS
If you've fallen behind on credit card payments or other debts, filing bankruptcy can help get you back on track by eliminating those debts permanently.
If you're not sure if you want to file for Chapter 7 or Chapter 13 bankruptcy (the two most common types), consulting a professional about your options before making a decision can help save you time, money, and stress in the long run.
Filing for bankruptcy doesn't just erase your debts—it also allows you to ask the court for permission to reduce the amount of money you pay every month toward certain expenses like child support, mortgage payments, or student loans. This is called a "debt adjustment." You might also be able to lower your interest rate on credit cards this way.
CONS:
Bankruptcy will negatively affect your credit score.
If you have any questions or need a Bankruptcy Lawyer, please call this law firm for a free consultation.
Ascent Law LLC
8833 S Redwood Road Suite C
West Jordan UT 84088
(801) 676-5506
