4 common reasons why you may consider filing for bankruptcy

Personal bankruptcy is a legal process that allows individuals to eliminate or restructure their debts. It is typically considered a last resort when other options, such as debt consolidation or negotiating with creditors, have been exhausted. Here are some common reasons why people consider filing for personal bankruptcy:
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1. Overwhelming debt: If you have significant debt that you are unable to pay off, bankruptcy may be an option. Bankruptcy can help eliminate certain types of debt, such as credit card debt or medical bills.
2. Creditor harassment: If you are being harassed by debt collectors, bankruptcy may provide relief. Once you file for bankruptcy, an automatic stay goes into effect, which prohibits creditors from contacting you or taking collection actions against you.
3. Foreclosure or repossession: If you are at risk of losing your home or car due to missed payments, bankruptcy may be able to help you keep those assets. Filing for bankruptcy can put an immediate halt to foreclosure or repossession proceedings.
4. Legal judgments: If you are facing a lawsuit and cannot afford to pay the potential judgment, bankruptcy may be able to help. Filing for bankruptcy can stop legal proceedings and discharge the debt if it is eligible.

It's important to note that bankruptcy is a complex legal process and should not be taken lightly. Before deciding to file for bankruptcy, it's a good idea to speak with a qualified bankruptcy attorney to discuss your options and determine if bankruptcy is the right choice for your situation.

The Office of T. Verner Smith has helped thousands of Tennessee residents navigate this process and has a great reputation for handling the process in a respectful and professional manner.  The first step is simply making a phone call to inquire about a free consultation.  Call us at (731) 423-1888 and let's begin finding solutions for your problems today.