The word bankruptcy used to strike fear, desperation, and failure in the hearts of many. But in today’s changing economic climate, it’s not unusual for hardworking Americans to find themselves in financial situations that are nearly impossible to get out of. And struggling families must do what they can to provide for their families. Sometimes that means taking on debt.
When that debt reaches an insurmountable amount, it’s important to examine all the options in front of you. Bankruptcy can offer you a fresh financial start. But how does it do that? And what happens when you file bankruptcy? Below, we explain what to expect with bankruptcy and how a Middletown OH bankruptcy attorney can help with your case. To learn more, contact Andrade Law Office LLC today.
Filing Bankruptcy Doesn’t Mean You’ve Failed
Filing for bankruptcy can be stressful and emotional. But the process is made even more difficult if you don’t put yourself in the right mindset.
We know that not being able to pay your bills is not pleasant. You’re behind on your mortgage, your credit cards are maxed out, and you’re getting threatening calls from creditors. But remember: unless you miraculously hit the jackpot, how is all of that going to change? Bankruptcy can give you a chance to get out from the cloud of stress caused by your strained finances. As your debts are swept away, you can gain a sense of freedom that outweighs any negative feelings you may have had about filing.
Start the Process Right With the Help of an Attorney
Getting the most out of bankruptcy requires first choosing the right bankruptcy attorney, one you can trust and feel comfortable with. Moreover, you need an experienced attorney who can explain what happens when you file bankruptcy. The more complicated your situation is, the more you need someone who understands the process and can help you navigate it.
Don’t Be Afraid to Ask Questions
Once you find the right attorney for your situation, do not be afraid to ask questions. Furthermore, be as detailed with your questions as possible. Make sure to ask questions that directly apply to your situation. Any attorney worth your time will make an effort to answer your questions with detailed answers that are easy to understand. The more questions you ask, the more of the bankruptcy process you’ll understand, which will in turn help you ease away your stress.
Collect and Organize Paperwork
One often overlooked step of bankruptcy filing is collecting and organizing all the paperwork that shows your current financial situation. Besides selecting the right attorney, this is perhaps the most important step of the bankruptcy process. You’ll need to collect all your credit reports, expenses, bank statements, and investment portfolios. In short, you need to gather any documents that can help show your bankruptcy attorney exactly where you are financially.
Filing Your Case
After your attorney has all your documents that shows your exact financial situation, they will then determine which chapter of bankruptcy you should file under (Chapter 7 or Chapter 13). With the chapter of bankruptcy that best fits your situation in mind, your attorney will create and file your case. It’s important to remember that this process can take up to several weeks, since there is a lot of information to review.
After your case is filed, you and your attorney will then have a meeting with your creditors. The court will appoint a state representative to attend the meeting and ask you simple questions concerning your filing. The primary reason for this meeting is to give your creditors a chance to claim your assets. In more straightforward cases, most credit card companies won’t even bother sending a representative to make any claims.
Finalizing Your Case
If your meeting with creditors all goes well, then your bankruptcy is nearly complete. If none of your creditors made any claims on your assets, then you just need to simply wait until you receive your discharge of debt letter. Once you’ve receive your letter, your debt will be cleared and you will be free to move on with your life.
Moving On After Bankruptcy
What happens when you file bankruptcy? You get a fresh financial start. And after your bankruptcy process is complete, you can start to rebuild your credit. Filing for bankruptcy does not mean your life is over. Many people file for bankruptcy and are then able to buy houses and rebuild their credit scores to be even stronger than they were before bankruptcy.
To learn more about the bankruptcy process, speak to an experienced Middletown OH bankruptcy attorney at Andrade Law Office LLC today.