Over the past couple of years, more people than ever before have continued to feel substantial financial stress. The impact of the recent pandemic, job losses, rising costs of housing and living, and other factors have put many people into a position where they may feel they cannot repay their debts and need support. One way that you can help either restructure your debts or even have them discharged completely, is by filing for bankruptcy. When you are going to file for bankruptcy, you will want to have an attorney by your side and speaking to one before you start the process is a good idea. There are several situations in particular that can be a sign that you should take with a bankruptcy lawyer.
When Facing Loss of Major Assets
A very important time that you should call a bankruptcy lower is when you are facing the loss of a major asset. Your home, vehicle, and other major assets could have required you to take out a loan to complete the purchase. Unfortunately, financial setbacks could cause you to fall behind on these loan payments. If this is the case in your situation, your lender will eventually start the foreclosure or repossession process to take the asset back. Your bankruptcy lawyer can advise on how filing for bankruptcy could stop or delay these processes, which will give you time to figure an appropriate repayment plan.
When Being Named in Civil Lawsuit
One of the most stressful situations that you could experience is if you are named in a civil lawsuit. A civil lawsuit could be due to a wide range of issues, including if you have fallen behind on payments to a creditor or if your actions have led to a perceived loss of another person. In any of these situations, being held responsible and named in the lawsuit can lead to a financial setback. Any judgments you have received could be factored in during your bankruptcy process hdsector.
When Falling Behind on Payments
The rising cost of living and volatile financial and job markets over the past couple of years have led many people to struggle to pay their bills. Those that have fallen behind on their payments could struggle to catch back up. Speaking with a bankruptcy lawyer and learning more about how filing Chapter 7 or 13 can be beneficial could be a great idea.
When Incurring Major Medical Expenses
One of the most common reasons why someone may need to declare bankruptcy is because they have incurred major medical expenses. Receiving medical care, prescription medication, surgical procedures, or other healthcare services can be extremely expensive in the country today. Even if you have insurance in place and your claim is approved, your share of the expenses can still be too much to repay. In these cases, your bankruptcy attorney can advise on how their services can help you either restructure your debt into a more favorable repayment plan or have it eliminated entirely.
When you Incur Job Loss or other Setback
While filing for bankruptcy can be a good idea for those that have slowly fallen behind on payments, it is also an option if you have suffered from a job loss or other major financial setback. Losing a job and falling behind on bills can be very stressful. If you are not able to get back into the job market quickly, you could exhaust your savings. If you start to accumulate a lot of debt along the way, finding a way to restructure it is always going to be helpful. Your bankruptcy lawyer will be able to help you figure out your best plan moving forward.
Filing for bankruptcy is a great way to either restructure your personal debts or even have them discharged. However, there are a lot of legal complexities and long-term impacts that you need to take into consideration. To receive the help that you need, hiring Lexington bankruptcy lawyers can be a great option. These bankruptcy lawyers can offer many services that will help ensure that you understand your options and that your filing is handled the right way. This can help result is a positive final outcome that will help you start to rebuild your personal finances.