Worrying about debts probably won’t help, but bankruptcy might

By On Behalf of Giddens & Gatton Law, P.C. | June 13, 2017

Countless individuals have experienced periods of financial struggle throughout the course of their lives. In some cases, these periods may be short-lived, while in others, it can be difficult to see the light at the end of the tunnel. Perhaps you are experiencing similar challenges, and you are feeling crushed under the financial weight of debt.

You could be considering a long-term solution to your financial woes but worrying about the potential impact to your credit. In many cases, these solutions can be much healthier, financially speaking, in the long run than the alternatives. You might find it beneficial to explore the available outlets for debt relief and find out if bankruptcy is a good fit for you.

Considering bankruptcy as a viable option

Debt can come in numerous shapes and forms, each of which can place you in a financial stranglehold. There are, however, numerous options that can assist you in these low periods, and weighing each in turn before deciding on a path is probably an excellent idea. To figure out if bankruptcy is a viable option for you, you might want to consider the following factors:

  • Type of bankruptcy:  Exploring the various chapters of bankruptcy can give you an idea of what to expect and how it will affect you currently as well as in the future. Before deciding on an exact path, you will probably want to find out which chapter fits your financial situation and needs.
  • Eligibility and alternatives:  Before entering the process, you will have to know if you are eligible for your chosen type of bankruptcy and explore the alternatives to ensure you find the right solution for your current predicament.
  • Type of debts:  Along with determining eligibility for your preferred path, you will discover that different bankruptcies cover different types of debts.
  • Impact on assets:  Knowing how bankruptcy will impact your current assets before proceeding will probably better prepare you for the road ahead.
  • Impact on others:  In some cases, your bankruptcy could affect other people, such as a co-signer on a loan.

Guidance and assistance moving forward

Constantly dealing with overwhelming debt can be extremely stressful and challenging. Perhaps your monthly payments on debts are causing you to suffer a lesser quality of life. You could be considering bankruptcy as a viable option for debt relief, but with numerous options and aspects to consider, you are likely in need of some guidance.

An attorney who is knowledgeable in federal and New Mexico state bankruptcy laws can answer your questions and advise you on available options and their potential outcomes. Such an attorney can subsequently help you pursue the most favorable outcome possible concerning your financial future.

Posted in Bankruptcy