INDIVIDUALS who have accumulated excessive debt are often left to ponder whether they should file bankruptcy to get out of debt. Sometimes, these people feel that somehow, they’ve lost, failed, or that they will never have a chance to rebuild their credit again. Because we are living in a society where having a lot of credit cards has become the norm, they can’t imagine themselves without credit cards.
Of course, the truth is that credit cards only give us a sense of false security. Why? Because these plastic cards create the illusion of having money that you really don’t have in your bank account, that’s why. That is exactly how most people end up spending their money before they even earn it. And they wonder why they are broke every pay day, no matter how hard they work.
If you find yourself over-extended and have tried living on a budget, doing financial counseling, etc. and still have not made great progress in repaying your debts, I applaud you at least for your efforts. However, your plan must be a realistic one or you will simply end up getting frustrated. When you have incurred more debt that you can possibly repay, perhaps filing bankruptcy may be the only way to get debt relief. And in most cases, it’s not as complicated and as bad as what your creditors would like you to believe. As a matter of fact, most of the hundreds of thousands of people who file for bankruptcy in the United States do just fine. They rebuild their credit after a few years and a lot of them are able buy homes just like everyone else. Filing for bankruptcy doesn’t have to be the end of the world. It is only a new beginning for those who really need it.
Suppose you have attempted to negotiate with your creditors to work out an affordable repayment plan, but they simply would not work with you. Although you’ve told them repeatedly that you cannot afford to pay the entire amount, they refuse to cooperate and continue to threaten you with filing a lawsuit, obtaining a judgment, and perhaps even garnishing your wages (which you know you cannot afford). What else can you do? This may leave you no other option but to seek debt relief through our federal bankruptcy laws.
If you are drowning in debt, don’t wait until things get worse or you may regret not having acted sooner. Waiting until the last minute also doesn’t give you enough time to find a good attorney who can protect your interests. Remember that like doctors, not all lawyers are the same. You need a competent legal representative who understands the debt collection and bankruptcy laws and has had experience in handling a lot of cases like yours. Hiring the wrong attorney can only make your situation worse.
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The opinions, beliefs and viewpoints expressed by the author do not necessarily reflect the opinions, beliefs and viewpoints of Asian Journal, its management, editorial board and staff.
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None of the information herein is intended to give legal advice for any specific situation. Atty. Ray J. Bulaon has successfully helped over 6,000 clients in getting out of debt. For a free attorney evaluation of your situation, please call RJB Law Offices at TOLL FREE 1-866-471-8272.
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