3 Reasons why Filing for Chapter 7 Bankruptcy can be the smart move
Unless you have been living on a different planet, you have probably heard about Greece getting delinquent in their payments and hitting the rim of bankruptcy. It seemed almost possible that for the first time a country considered as one of the developed economies would go bankrupt. It also came very close to becoming the first one to exit out of the shaky Euro alliance.
So, if you are left wondering why Greece was flirting with bankruptcy, and how that could be similar to your personal situation, lets take a look at the top 3 reasons why, sometimes, it does makes sense for individuals in USA to file for personal bankruptcy.
Now, each situation is different and it is hard to generalize. So before taking action, please schedule a free consultation with your Chapter 7 bankruptcy attorney in my Westchester office or in my Rockland office by calling 914-946-6555. The first 30 minutes of this personal bankruptcy lawyer consultation are free. It is very likely that our office has helped someone recently in a similar situation like yours. We can go over what the process will be like and what the costs involved are before you commit to get started.
Have you ever heard the radio ad that promises to lower your debt payments, and negotiate with the creditors? These companies often present themselves as “not for profits” and promise you that they will help you “solve” your credit card debt problems. But have you ever wondered who is paying for those ads and sponsoring these “not for profits” and why? The answer to that will shock you! (and I have it at the end of this article)
But first pay close attention to the three most important reasons why you should consider filing for bankruptcy:
- You can start with a clean slate : If you carefully and accurately file for chapter 7 bankruptcy in New York with the help of an experienced bankruptcy attorney, you get to start with a clean slate. All your past debts are wiped out and you can start all afresh.
- You may be able to keep some of what you own : If you think you will be left with nothing at all after a chapter 7 bankruptcy, that is not the case!
Some of your assets are “exempt assets” that means creditors cannot come after those assets.
While the creditors can come after your non-exempt personal assets, liquidate them and settle some of the past debts, as a practical matter, that is very expensive for the creditors. It is very much possible that they may not come after even these non-exempt personal assets because of the cost of the recovery is high and how much can be recovered from liquidating assets is uncertain. Things you may value may not have a tradable market value.
Every situation is different and schedule a 30 minute free consultation with the office of Ken Busman- a leading bankruptcy attorney in Rockland NY and Westchester NY before taking any concrete steps.
- They cannot come after the money and assets you acquire post bankruptcy : Except for some special situations like past due taxes and unpaid alimony, creditors cannot come after the assets you acquire after bankruptcy. If one day later you win a lottery, that money is free and clear. If your long lost uncle dies and leaves you all his inheritance, that is free and clear too.
And if you are still wondering who pays for the “debt relief service” ads and those not-for-profit organizations, its the banks that issue credit. Why? Because they are much better off having you pay a good portion of the amounts you owe them rather than filing for bankruptcy and paying nothing at all!
Its the same reason why the people who have lent money to Greece, the other richer countries in the European Union are bending over backwards to get Greece on a path to solvency so that the money owed to them is recovered, even if that means that the growth of the Greek economy is crippled and the prosperity of the next generation of Greek citizens is held ransom.
Ken Busman, Attorney at Law, with offices in Westchester NY and Rockland NY, serves clients throughout metropolitan New York City and the northern suburbs. Our key areas of practice include Bankruptcy Law, Personal Injury Law, Real Estate Closing Law, Accidents Injuries Law and Divorce Law. We have been serving clients for over 30 years as Chapter 7 bankruptcy attorney and the first consultation is always free so we can assess if we would be the right fit to take on your case. Call our office today at 914-946-6555 to schedule your free consultation with a bankruptcy attorney in Westchester and Rockland areas.