There are as many answers to this question as there are people who need to file bankruptcy. First let me answer two easier questions:
“Who should file for bankruptcy?” With few exceptions, anyone who qualifies for bankruptcy should strongly consider filing. Even if you qualify and should file for bankruptcy, the question of “when” to file remains.
Most important, “When should you seek a consultation about filing bankruptcy?” The moment you first thought of bankruptcy. There are often many options available to manage current or future financial difficulties. The longer you wait, the fewer options will remain. Seek advice as early as possible.
An in-depth consultation with an experienced bankruptcy attorney is the only way to know when is the best time for you to file. I will try to address some of the considerations, but this list is by no means exhaustive.
- If your home is in foreclosure, you need to be braced to file before the law date or sale date if you hope to save the home or stay in the house for a little longer.
- If a creditor has a judgment against you, or you are in suit and facing a judgment, you may want to file sooner than later. Once a creditor obtains judgment, the creditor can place a lien on your home or other assets. While your personal obligation to repay a dischargeable debt is discharged in bankruptcy, in most cases a lien is not.
Also, a judgement creditor can take money from your bank account and attach your wages. Unless there are other compelling reasons not to file, you may want to file prior to judgment and certainly before the creditor acts on the judgment.
- If you expect to incur another significant expense in the near future, such as a medically necessary surgery, you may want to let that expense accrue prior to filing. You will receive no bankruptcy protection for an expense incurred after the moment of filing.
The potential scenarios are endless. The attorneys at Bellenot & Boufford, LLC will develop a bankruptcy scheduling plan that maximizes your benefits. Maybe even help you save money in the process. Often significant savings.
Do not wait to seek advice. Call Bellenot & Boufford LLC today.