The purpose of the bankruptcy laws is to "give to the honest but unfortunate debtor... a new opportunity in life and a clear field for future effort, unhampered by the pressure and discouragement of preexisting debt."1
Most people fully intend to pay back what they borrow. But sometimes unexpected misfortunes can make that impossible.
- ...you've lost your job?
- ...an illness or injury made you unable to work?
- ...the death or illness of a family member has drained your finances and decreased your household's income?
- ...your business failed in the "Great Recession"?
- ...the banking crisis wiped out your life savings and the value of your house?
- ...a messy divorce or free-spending spouse has left your finances in shambles?
- ...you've been the victim of a fraudulent scheme or predatory lender?
- ...you've managed to solve whatever problem first pushed you into financial trouble, but you just can't catch up with the outrageous interest rates on your credit cards?
- ...erase your debts. Most debts, including credit cards, medical bills, cash advances, personal loans, and so on, can be completely and permanently eliminated in bankruptcy.
- ...end wage garnishment. If a creditor is garnishing your wages, the law compels them to stop once you file for bankruptcy.
- ...unfreeze your bank account. If a creditor has frozen your account account, the law compels them to release your bank account once you file for bankruptcy.
- ...stop debt collector harassment. Once you file for bankruptcy, debt collectors cannot take any actions to attempt to collect from you.
- ...usually still be filed even if you own a house or car.
- ...make your finances more manageable. Think about how much you spend each month on credit card bills and other debts. Now, think what you could do with that much money in your pocket every month - you could provide your family with the things they need and even save a little!
- ...give you a chance to start over. Bankruptcy wipes the slate clean. You are given a chance to start fresh and rebuild your life.
Muennich & Bussard, LLP can give you a free consultation to help you learn if bankruptcy is right for you. Call us today at (347) 855-DEBT / (347) 855-3328 to schedule an appointment. If bankruptcy is the best choice for you, we can guide you through every step of the way, from pre-bankruptcy planning, to preparing your petition to the court, to attending your hearing, to advice on how to rebuild your credit after bankruptcy.
For more information on bankruptcy:
- Types of Bankruptcy
- Bankruptcy Info
- Bankruptcy FAQ
- Bankruptcy Links
- Bankruptcy Videos
1 United States Supreme Court, Local Loan Co. v. Hunt, 292 U.S. 234, 244 (1934).