Sometimes multiple things happen in a person’s life that create an unsustainable debt load. In some cases, it’s a result of poor financial decision-making, and in other cases, it’s because of a perfect storm of circumstances. Medical expenses, vehicle repairs, additional consumer debt to cover wage gaps, and other things can all creep up on a family. It’s natural to start wondering at that point about the advantages and disadvantages of filing bankruptcy.
All types of bankruptcies have pros and cons. Each available type meets the needs differently of individuals, businesses, municipalities, and school districts. No matter which types of bankruptcy an individual files, a Chapter 7 bankruptcy or a Chapter 13 bankruptcy, all active bankruptcies will stop the actions of debt collectors. Chapter 9 and Chapter 11 bankruptcies are for businesses and other entities.
When filling the documents needed with the court, the paperwork must be as accurate as possible. Any errors or omissions with facts, figures, timing, or other statements that may not be validated as correct, can be seen as possible fraud. These actions can lead a court to deny the request for bankruptcy. If bankruptcy is dismissed, collection activity resumes, including potential wage garnishment or the seizure of assets. Chapter 7 bankruptcy attorneys know their way through the system and can prevent mishaps on your behalf.
By putting a falsification on their bankruptcy, Indiana residents could be facing perjury and might go to jail for bankruptcy fraud, even if it was done by accident, which is why it is extremely important to work with an Indiana bankruptcy attorney for your filing. When dealing with bankruptcy Indiana residents who file Chapter 13 will have to repay all or part of their debts in a three to five year repayment plan. While many people file Chapter 7 bankruptcy in indiana because of this notion, you should also know that even though all of your debt will be removed with this type of filing, it may come at the expense of some of your assets, including your car or your home.
Contrary to what you might believe about damaging your credit after bankruptcy Indiana lawyers can assure you that you will be able to rebuild your credit and raise your score after filing. Indiana bankruptcy lawyers will make sure that you are left in the best position possible after you get through your bankruptcy process so that you can rebuild not just your credit, but your life in general. Working with an Indiana bankruptcy lawyer will pay off because your process will go smoother and the likelihood of you hanging onto your property will be much higher. After filing bankruptcy Indiana residents will finally have an opportunity to live a debt free lifestyle, as long as they pay attention in credit counseling and make better choices.