The national economy has been in a dreadful state. The result of the dreadful economy is that many people are losing jobs and going into uncontrollable debt. Debts can often lead to bankruptcy, which is never a good thing.
If this describes your situation, you need to be familiar with the laws in your area. Each state has their own set of rules regarding bankruptcy. For example, in some states you can keep your home and car, while other states prohibit this. You should be familiar with the laws for your state before filing.
Don’t use a credit cards to pay your taxes if you’re going to file bankruptcy. In most states, this debt will not be dischargeable, and you may still owe money to the IRS. This makes using a credit care irrelevant, when it will just be discharged.
Always be honest and forthright when it comes to your finances.
You may still have trouble with getting unsecured credit after a bankruptcy. If you find that to be the situation, apply for a secured card or two. This will show people that you’re seriously trying to restore your credit record back in order. After a while, you will then be able to acquire credit cards that are unsecured.
Be sure to hire an attorney before you embark upon filing for bankruptcy. You may not know everything you need to know in order to have a successful outcome of the various aspects to filing for bankruptcy. A qualified bankruptcy attorney can guide you on how proceed properly.
Before making the decision to file for bankruptcy, be sure that other solutions aren’t more appropriate for your case. If you owe small amounts of money, you may be able to manage it with credit counseling. You can also talk to creditors and ask them to lower payments, but be sure …