A bankruptcy certainly isn’t all bad, or people wouldn’t opt to use it. Still, they can feel like a failure to some people. They may make you feel like you couldn’t control your finances or that you’re not as stable as others.
Of course, the truth is that anyone can end up in bankruptcy. The loss of a job, health issues and other concerns can lead to significant financial trouble.
Bankruptcy won’t clear all of your debts. If you hold debts such as student loans or just made a large purchase before filing, chances are that you’re going to be stuck making those payments. However, unsecured debts are fair game, and you can ask that credit card debt, among other kinds, be discharged through bankruptcy.
Every bankruptcy case is unique
You should know that every bankruptcy case is unique. The court will determine the outcome of your case. For example, a judge may decide that you made a purchase too soon to the bankruptcy and ask that you continue to pay for your vehicle or home. On the other hand, if your debts have accrued and you can’t pay anything back though you’ve genuinely tried, a judge may decide to discharge all they’re able to.
Your attorney’s job is to help you understand bankruptcy and what you should expect once you file. There are steps that you’ll need to take before going to court, during the process of bankruptcy and once the bankruptcy is over and your debts are discharged. Your attorney will keep you informed, so you can continue to make educated decisions during your case. Our site has more on why it’s important to get help with your bankruptcy case.