We live in a world in which debt is the accepted norm, we are constantly exposed to seemingly solid companies going from boom to bust; all you have to do is look at what happened to Enron and other newsworthy cases. How can you tell if you have reached the point where you too should declare bankruptcy?
First, ask yourself a few pointed questions and give yourself honest answers:
- Do you always make the minimum payments on your credit cards?
- Are bill collectors hounding you?
- Are you using your credit cards to pay for everyday necessities?
- Do you really know the state of your financial affairs?
- Are you thinking of consolidating your debts?
If you answered yes to at least two of these questions you probably owe more than you can afford to pay and you should seriously reconsider your financial position, it may be time to consider contacting a bankruptcy law attorney.
There are two ways that you can enter into bankruptcy, one is voluntary where you file for bankruptcy protection and the other less common way is when creditors petition the court and force you into bankruptcy. As there are a number of ways to go about the process it is important that you take the advice of a bankruptcy law attorney in Las Vegas, NV, based on your situation the attorney can help determine which the best is for you.
For an individual or a small business the most common forms of bankruptcy are Chapters 7 and 13.
- Chapter 7 is often simply referred to as “straight bankruptcy.” There are a number of reasons for falling into a situation where this is the best way out; large medical expenses, the loss of employment, overly extended credit and divorce are the main ones. In Chapter 7 you elect to liquidate your assets and use the money to pay off as much of your accumulated total debt as possible.
- Chapter 13 is a better choice for those who have significant assets that they want to keep. To enter into Chapter 13 the petitioner must develop a reorganization plan which is acceptable to the court; this plan will see that the greatest majority of the debts will be repaid in a period of time not to exceed five years. This type of bankruptcy is only available to those who have a predictable, constant income.
If you have the right bankruptcy law attorney in Las Vegas, NV filing for bankruptcy can provide you with a new financial footing, one which will allow you a fresh start.
Before declaring bankruptcy you are advised to discuss your situation with a seasoned bankruptcy law attorney in Las Vegas, NV. You are invited to contact the Law Office of Hayes & Welsh. They have significant legal experience and knowledge, helping clients collect debts as quickly as possible.
