You are swimming in debt and cannot find a clear way through — is it time for bankruptcy? If you find yourself weighing the pros and cons of bankruptcy in Phoenix, or wondering, do I qualify for bankruptcy, it might be the right time. Here are five signs that bankruptcy could be a good next step for you.
Your Assets Are Less Than Your Debt
If you owe more than you have and the gap is widening regularly, it may be impossible to get out of this situation. When weighing the pros and cons of bankruptcy in Phoenix, think about what your life would be like if you no longer had to deal with losing more than you make to debt.
You Are At Risk of Losing Something Major
“Can I save my house?” This is not a question most people want to have to answer. If you are behind on mortgage or car payments, or other major financial transactions are at risk, it may be time to start over again with bankruptcy. In some cases, bankruptcy exemptions allow you to keep most of your property and assets. If behind on your mortgage, you can cure that default and keep your home by filing a Chapter 13.
Debt Collectors Are Constantly Calling
Are you afraid to pick up the phone? Are creditors harassing you for debt repayment? If you are far enough underwater that you can’t keep debt collectors off your back, consider this when weighing the pros and cons of bankruptcy in Phoenix. Filing for bankruptcy puts a stop to collections calls.
You Wonder, “Do I Qualify for Bankruptcy?”
Just the fact that you are considering bankruptcy is a pretty big sign that it might be a good next step. Being under major financial strain leaves people trying to find a solution, so if you are already thinking about this as an option, it is probably for a good reason.
You Have No Way to Meet Financial Obligations
If you do not have a job, or your wages are so garnished due to debt that you cannot reasonably make payments on anything else, there may be no other way out aside from bankruptcy. A filing will stop garnishment of your wages right away.
If you think you may want to file bankruptcy or want answers to any financial questions, contact an experienced bankruptcy attorney.
This blog is intended as a general discussion of legal issues and not as a statement of fact, legal advice or a legal opinion. No attorney-client relationship is created by this blog. Do not act or rely upon law-related information in this communication without seeking the advice of an attorney licensed to practice in the relevant area.