Why Generally People Files for Bankruptcy? Top Reasons:
Note: This list is still evolving, and not the end of the road, but find out if these stages applies on you. Maybe you have a different scenario and is not covered by catch-all situations.
1. You like to get out the legal obligation to pay debts and needs discharge.
This process of wiping the slate clean is called a discharge of debts. Behind every discharge, the idea is that the debtor gets a fresh start. A chapter 7 gives a fresh start or liquidation. A chapter 13 gives is a reorganization bankruptcy. In chapter 7, most of your debts are discharged.
2. Foreclosure: A bankruptcy stops foreclosure on your home, and gives you a chance to either wipe out your secured debtor or catch up on delinquent amounts. You need to stop evictions and a bankruptcy has that an inbuilt remedy.
3. Prevent Your Car or Other Property From Being Repossessed.
The Repo man is harassing you and encircling you, calling you days and nights. Again, even if the creditor has repossessed your car, filing bankruptcy can effectively force them to return your car or other personal property (if the bankruptcy is filed quickly enough). The past payments you have missed will be consolidated into your Chapter 13 Bankruptcy plan. In a chapter 13 petition, you would start making payments to your trustee instead of your creditors.
4. Reduce or Even Eliminate High Medical Bills.
You have incurred lots of medical bills and these medical bills are ruining the peace and tranquility in your life. We all know about the health crisis in our country and the lack of medical coverage.
5. Recent Loss of Employment.
You lost your job, and as we know we have a high rate of unemployment at this time. Nevada especially has at least 10 percent or more unemployment rate. Both spouses are not working and even your grown up children has been laid off. The only money coming is via the unemployment checks which may be expiring pretty soon. What is the solution from your continuously harassing creditors?
Do these Reasons Apply to You?
If so, filing bankruptcy could be a good option. Call us today at (702) 270-9100. As promised, we would give you a 30 minutes free consultation.