To some, the words “positive” and “bankruptcy” don’t seem to make sense together. The negative view some people have about bankruptcy, though, is often a matter of misconception. Although bankruptcy is experienced in times of difficulty, it is meant to protect individuals suffering from debt and get some much-needed relief.
Simply put, bankruptcy doesn’t hurt people. It helps them.
Still, at JPP Law, we know how intimidating it can be to file for bankruptcy. Learning the ins and outs of bankruptcy isn’t easy. Should you file for Chapter 7 or Chapter 11? What properties are exempt? Which debts are dischargeable?
When your financial situation is already a major source of stress, you need someone knowledgeable by your side. The attorneys at JPP Law always strive to provide the best legal guidance and assistance possible to our clients. Let us share our knowledge with you.
Here are some of the positives of filing for bankruptcy:
It Gives You a Chance to Breathe
When debt collectors are constantly hounding you, finally being able to press the PAUSE button and catch your breath is utterly invaluable. Upon filing for bankruptcy, you’ll receive an automatic stay, which freezes all debt collection activities until your case is completed. That means your creditors won’t be able to file a lawsuit against you, repossess your property, or harass you by phone or mail. In most cases, it also means safety from utility shutoffs, wage garnishments, evictions, and foreclosures.
It Can Help Fix Your Credit Score
A major misconception that many people have about bankruptcy is that it will gravely damage their credit scores. This often scares them into holding off on declaring bankruptcy until their financial situation has spiraled completely out of control. While it’s true that a bankruptcy filing remains on your record for a period of 7-10 years, many individuals find that, with their debt finally under control or even gone entirely, they’re able to begin rebuilding their credit immediately.
It Cancels Many Kinds of Debt
In the case of certain kinds of debt, bankruptcy will help you restructure the terms so you can begin paying off what you owe in a more manageable way. In the case of many other kinds of debt, though, bankruptcy does something even better: it cancels the debt entirely. Debts from credit cards, personal loans, and utility and medical bills are all typically discharged, meaning that your obligation to repay them is totally and permanently erased.
It Helps You Keep Your Property
One of the things many people struggling with debt worry about is the possibility of losing essential properties, such as their homes, cars, or even their wedding rings. Fortunately, the most common forms of bankruptcy include exemptions, which, depending on the value of your property and the extent of your debts, will prevent creditors from seizing certain assets. Through this, most individuals who file for bankruptcy can keep their most important and cherished possessions.
JPP Law Has the Best Bankruptcy Lawyers in PA
Are you tired of being hassled by debt collectors? Are you looking for a chance to start over fresh? Need help figuring out how to declare bankruptcy in PA? JPP Law is here to help. Our experienced legal team will walk you through the entire process, provide crucial advice about important decisions, and make sure that you finally get the relief you need.
Reclaim your financial independence. Contact JPP Law today.