Bankruptcy is a manner of dealing with your debts in which some of your debts are discharged or forgiven, or in which your debt payments are changed and restructured in order to become more affordable. Bankruptcy has some drawbacks, but is the best option in many cases when you are dealing with unmanageable amounts of debt. An experienced Sylmar bankruptcy attorney can help you to find out if bankruptcy is the best choice for you and, if so, can assist you in the bankruptcy filing process.
Is Sylmar Bankruptcy The Right Choice?
Many people are reluctant to actually file for bankruptcy, even if it is the best possible option for them. This reluctance may come from a fear of what will happen to their credit or a worry about being able to borrow after bankruptcy. The reality, however, is that your credit score may actually improve with a bankruptcy filing that stops creditors from routinely making black marks on your credit. Even if your score does go down, this is a temporary and not a permanent situation, as you can get a secured card right after your bankruptcy and start to improve your score again.
With the main reasons for reluctance not actually as big of a factor as most people believe, filing for bankruptcy clearly becomes the better option as compared with continually sending money to creditors and making no headway as all of that cash goes to late payment fees and interest charges. Bankruptcy is also a better choice than losing your home or than cashing out or borrowing against retirement accounts, as your house and your 401K and other retirement accounts are protected during a bankruptcy filing.
Getting Help from a Sylmar Bankruptcy Lawyer
When you come to the realization that bankruptcy is the best option for you, you need to speak with an experienced bankruptcy attorney in order to make the decision about what bankruptcy chapter to file under. If you are an individual, you will likely be filing under chapter 7 or chapter 13. If you have a lot of debt or if you are operating a business, chapter 11 may be the better choice. Your Sylmar bankruptcy attorney will help you to better understand the difference between these different bankruptcy chapters so you can select the one that makes the most sense given your income and the level of debt you are carrying.
Your Sylmar bankruptcy lawyer will then assist you in filing the required forms and in proceeding with your bankruptcy in order to get the maximum amount of debt discharged and to avoid unnecessary problems or delays. For instance, a Sylmar bankruptcy attorney may help you to deal with creditor objections, establish a repayment plan or work with your bankruptcy trustee.
To learn more about how our experienced and understanding Sylmar bankruptcy attorneys can help you, contact us today. We also provide knowledgeable legal advice to those looking for a San Pedro, Santa Monica, Hollywood, Los Angeles or Pomona bankruptcy lawyer.