BAD THINGS (& some of the good) ABOUT FILING A CHAPTER 7 BANKRUPTCY 
Saturday, November 9, 2013, 12:32 PM
Posted by Administrator
A "Chapter 7" Bankruptcy is the kind where you generally don't pay anything to creditors. Most middle-class and lower middle-class people would qualify for this. Most people...the VAST MAJORITY...... who file DON'T have to turn over any property.

Bad things:
1) It is bad for your credit (IF YOU HAVE GOOD CREDIT...IF YOU'VE ALREADY GOT BAD CREDIT, BANKRUPTCY CAN BE VERY GOOD FOR YOUR CREDIT.
2) You can only file a Chapter 7 bankruptcy every 8 years (more or less)...so, if you get into financial trouble in the meantime (a car accident where you were at-fault and didn't have enough insurance, for example) you'd have to look into other options to solve the problem.
3) There are lots of papers to get together.
4) Unless you think you can do it yourself, you've got to hire a lawyer.
5) You must answer annoying questions.
6) It is a bad option for people who like to lie, cheat and steal.

That's pretty much it. The bad side of bankruptcy is overblown....usually by people and companies with something to sell.

Also, when you consider the bad, you've got to compare it to the good...things like:
-Get rid of most debt (you've got to pay your mortgage payment if you want to keep your house and your car payment if you want to keep your car).
-Stops lawsuits (not alimony/child support related), garnishments, collection calls, repossessions.
-Can get your driver license reinstated if it's suspended under the "Financial Responsibility Act" (not if you owe because of a DUI.)

The above is a totally incomplete list of the good and the bad (but, it's a College Football Saturday.....FSU (the kid's school, is beating up Wake Forest and the Gators.....the season is just making me want to cry.......9-0: Vanderbuilt! really?) and I've got to go.


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