What does bankruptcy do to your net worth?
What does bankruptcy do to your net worth?
Whether you are a person looking to get a fresh start or you are just worried about your financial future, bankruptcy can have serious effects. Your net worth depends on several factors, including your personal situation, the types of debt you have, and the property you own. It is important to discuss your options with a financial coach before you file for bankruptcy, so that you can find a strategy that works best for you.
The most well-known consequence of bankruptcy is the loss of property. The debtor gives up his or her non-exempt property to the bankruptcy trustee, who liquidates the property for creditors. You can also lose certain property, such as your car, your house, and your jewelry. You can keep essential items, however.
Your credit will be harmed, but not completely. Having some type of bankruptcy will decrease your score, but it will not make it go away completely. You will need to pay off any unsecured debts, and keep your mortgage payments current, though.
If you have any questions or in need a Bankruptcy Attorney, we have the Best Attorneys in Utah. Please call this law firm for free consultation.
Ascent Law LLC
8833 S Redwood Road Suite C
West Jordan UT 84088
(801) 676-5506
