The degree of difficulty in managing finances is relatively the same whether you are concerned with an individual, a family’s, or a business’s financial health. However, there are times when your best effort is not enough and it may be the best option to declare bankruptcy as some people in Raleigh, NC have.
Declaring bankruptcy is downright scary – However, if done right, filing for bankruptcy can give a financially troubled person or group peace of mind. After you receive a discharge of your debt, your credit score will even improve. Bankruptcy laws for residents of Raleigh were drafted to provide heavily indebted people some relief.
Since the act of declaring bankruptcy is not an easy choice to make, here are some guide questions that you can use to determine whether you should contact an attorney.
Do you use credit cards to pay for even the basic necessities each month?
If you have no available cash to spend for even the most basic necessities such as groceries, or you find that you cannot pay your utility bills (e.g. electricity, water, gas) without the help of a credit card, then you should consider declaring bankruptcy.
Using credit cards to pay these things can only make your situation much worse as they accumulate interests and fines for late payments.
Do you have a hard time paying off your debts and bills on time?
If even after getting a second job, you still find it impossible to pay your debt or bills on time, or in full, then you should probably consider declaring yourself bankrupt. After a couple of delayed payments, you might find yourself struggling to pay the interest with none of the money ever reducing the principal amount borrowed. This will only result in an endless stream of worries about how to make the next payment.
Is the amount of your accumulated debt so high that it is already causing you psychological, emotional, and physical stress?
If you dread waking up every morning due to debt-related stress, then you should consider consulting a bankruptcy lawyer to help you determine available options. A good bankruptcy lawyer can help you weigh the pros and cons of declaring bankruptcy, and advice on whether you should file for a Chapter 7 or a Chapter 13 bankruptcy. A lawyer may also help you set up realistic repayment plans under a Chapter 13.
If you find yourself in a serious financial bind, assess whether you are only experiencing a temporary bump. But if you are already in too deep, then you should seriously consider filing for bankruptcy. For best results, consult an experienced bankruptcy lawyer.
When and Reasons Why to File for Bankruptcy, moneycrashers.com