bankrupcy?

Question

i have so much debt and its from credit cards medical bills unpaid car loans and other crap what is you take on bankrupcy and in the end is it a good or bad turn out or what ....anything will help!!!

Answer 1

The bankruptcy laws have changed so much since I went through mine back in 2001, I would recommend first talking to Consumer Credit Counseling Services first.

They are the oldest non profit credit counseling service in the Country and will work with your creditors to lower your monthly payments and your interest rates.

You can reach them at 1-800-388-2227.

I used them about 15-years ago and was debt free in 36-months.

Having said that, if you do choose to file bankruptcy, it's not the end of the world. Like I said I went through it back in 2001 and I was lucky, I had a Ford account that I reaffirmed on and made sure that they continued to report to the credit bureaus.

Between that and two credit cards that I got right after my bankruptcy discharge, I was able to re-establish my credit to the point that 1 year later I bought a new car no money down and a 3.9% interest rate through Ford. 1 year later, I bought a home no money down and a fixed 6.5% rate. Now 4 years after that, I have actually a better credit score and profile then I did before the bankruptcy. Score over 750 never late on anything since 2001.

Answer 2

Bankruptcy is a huge decision. You need to weigh your options as far as your current situation is concerned and you also need to think about what you'd like to do in the future (i.e. buy a home, a car, etc.).

You should seek professional advice. CCCS (as Spifman suggested) is a good start. If you don't have one in your area, you might seek the counsel of a bankruptcy attorney. Some of them will do a free consultation where they will review your situation with you and answer any questions you might have. You'd just have to call around to find one.

If you have not already, pull your credit reports from all three bureaus: TransUnion, Equifax and Experian. See what's on there and add up everything you owe. (be sure to not add duplicates!) It might not be as bad as you think and a consolidation program might work for you.

As far as some of the consequences are concerned, a bankruptcy will stay on your report for 10 years. If you want to borrow money in the future, you have to reestablish credit by applying for a new credit card (or something like that) and try again. If you want to apply for a major loan (such as a house), they will want to see that you have reestablished credit and you have to wait at least two years after your bankruptcy is discharged. (Those are the standards of reputable lenders...of course you could probably get a loan from someone else who's not as trustworthy, but you would be setting yourself up for failure). Another issue you might run into is interest rates. They will be high for quite a while after your bankruptcy. So when you try to reestablish, be prepared for that.

Good luck!

Answer 3

It is not free to declare bankrupcy you have to pay or be made bankrupt and it will haunt you for a long time.
You also in the uk still need to pay back an amount of money not all but some they can also take your tv etc.
If you break the rules of bankrupcy you can also go to prison.

Answer 4

The Chapter 7 bankruptcy is applicable if you have no regular sources of income. It works by reducing or clearing off all your debts. You can then make a fresh start without having to worry about having to pay your debts.

Once you file for Chapter 7 bankruptcy, the bankruptcy court assigns a trustee who works as an intermediary between you and the debtors. He oversees everything and checks out if the bankruptcy plan is going as planned.
http://get-out-of-the-debt-trap.com/category/Information-on-Chapter-7-Bankrupt.html

Answer 5

after 2 years you can still get a house, a car, and even credit cards. the rules are different now so speak to a bankruptcy attorney. It's usually a free consultation. it's not the worst thing in the world but be careful in the future

Answer 6

Declaring bankruptcy's a bad idea. Here's some good information regarding bankruptcy:
http://www.consumercredit.com/bankruptcy-info.htm

You're best off seeking assistance from a non-profit credit counseling service. They can help you consolidate your debt and will work with your creditors to reduce payments and make paying off your debt much less scary and much more manageable.

More than anything, remember not to freak out, but to educate yourself.

Here're a few non-profit credit counseling services you might want to check out (I'm not affiliated with any of these)

http://www.consumercredit.com
http://www.consolidatedcredit.org
http://www.cccservices.com

hope this information helps. best of luck!

Answer 7

Hey I heard you needed help on the thing bankrupcy well there is something about that I am going threw one right now bankrupcys are really helpfull when your up to your eyes in dept.the only bad thing about it you have to go to a lawer the cost is about 1200.00 then you get a court date you give your lawer all the bills you want to bankrup and then you go to court they pass it and then your done the only bad thing about it is that you can not get no loans apply for no credit cards no noting for 7 years so it helps out.well I hope I help out..

Answer 8

i do no longer understand, i've got no longer tried it. in case you AND your companion are submitting for financial ruin, she'll probable ought to proceed on with it. financial ruin removes the debt, you or your companion will ought to pay any expenses as a effect of the financial ruin. expenses are oftentimes co-owned (based upon the state and while the debt became incurred). Any expenses (and materials) exchange into component of your belongings. So, your companion ought to nonetheless ought to pay the debt. Suicide won't resolve any issues. they are going to create better ones that your companion probable is only no longer waiting to manage. this is a hell of a poor memory or present to flow away.

Answer 9

erica I found interesting information about your answer,( this article: Personal Bankruptcy, the myths and facts) & options here. http://all-debt-consolidation-loan.blogspot.com/2007/08/personal-bankruptcy.html Good luck!

Answer 10

go talk to a bankruptcy attorney.

filing will help you in the short-term but will haunt you for years to come.