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2 Ways Bankruptcy Can Help You Take Control Of Your Finances

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If you are currently struggling to make ends meet and can't seem to get out of debt, there is an answer to help you take control of the situation and get back on solid ground. Don't let something like being laid off or losing hours control your situation, speak with a bankruptcy attorney today about what options you have available to you.

It Allows You to Negotiate Better Rates

Many people overlook just how beneficial it can be to file for bankruptcy. They are so worried about all of the misconceptions out there that they end up over their head in debt. However, filing for bankruptcy allows you to negotiate better rates and terms with lenders for any debts that you want to keep. For example, you might be able to take your furniture payment from $150 per month for the next 12 months down to $100 per month for the next 10 months. Some lenders are even willing to wipe out interest and give you a flat amount to pay your debt off and own the merchandise free and clear. By agreeing to reaffirm the debt, you are more in control of the terms of the debt.

Say Goodbye to Your Debts

Instead of struggling to pay all of your bills each month, you can put an end to the struggles by filing for Chapter 7 bankruptcy. When you file for bankruptcy, the vast majority of your unsecured debt is going to be wiped out upon completion of the case. This means that those creditors cannot come back on you and try to collect their money. Credit card bills, medical bills, subscription dues and much more are all going to be eliminated.

Student loans, child support and certain types of debt cannot be eliminated. However, the bulk of your debt will all be discharged and you get to start over with a clean slate that doesn't have thousands of dollars in debt on it. Your attorney, such as from Knollmeyer Law Office, can go over the items that you cannot discharge to make sure you have a solid understanding of what you are going to be left paying at the conclusion of your case.

Regardless of what you might have heard about bankruptcy cases, you need to spend some time going over everything with an attorney who can help explain things better for you. Don't ever assume that everything negative you heard about bankruptcy is true. That often isn't the case.