When is the right time to file for bankruptcy?
Many people see bankruptcy as a last resort, but all too often that perception means families wait far too long to consider seeking this type of protection.
Many people see bankruptcy as a last resort, but all too often that perception means families wait far too long to consider seeking this type of protection. Ultimately, waiting can end up hurting your financial situation more than filing at the “right” time.
Obviously there is no exact “right” moment to file, as each family’s situation will differ. However, there are a few common signs that you should consider speaking with an experienced Minneapolis bankruptcy attorney to discover what options you have and what they would recommend in your predicament.
A few of the signs that could mean it’s time for you to file for bankruptcy include:
- Creditors calling. One of the most worrying and stressful things that can happen to a family is when creditors come knocking. If you’re being hassled by your credit card company or lender, bankruptcy can help stop the phone calls and past-due notices.
- High-interest debt. Debts on credit cards with high interest rates, such as 15 to 20 percent, can become very difficult to pay back over a very short period of time. If you have more debt than you can handle on such a card without factoring in interest, it may be time to investigate bankruptcy.
- Missing bill or mortgage payments. This is a hallmark sign that bankruptcy may be able to help you. Depending on the chapter for which you file, you can make your home and/or your debt much more affordable.
If you’re experiencing any or all of these difficulties, only a professional can guide you through this process to determine what the right course of action is for you and your family. The professionals at Atlas Law Firm will provide you honest advice and upfront information on how bankruptcy can help you.