The decision to file
bankruptcy isn’t easy to make. No two people are the same, and therefore, no
two people have the same financial situation. It’s crucial to take a good look
at your personal circumstances and make the decision that works best for you, your
loved ones, and your bank account. Fortunately, the team at Kimberly J.
Macleod, P.C.--a leading law
firm in Edmonds, WA--is ready to help you navigate through
the bankruptcy process.
The Pros
Debt
Elimination -- Debt can be a looming cloud that affects
every aspect of your life. Chapter 7 bankruptcy can completely eliminate your
existing debt and Chapter 13 bankruptcy will break down your debt into a more
manageable payment plan.
Exempt
Property -- In Washington, most of your personal property is
exempt from bankruptcy, meaning you won’t have to sacrifice the standard of
living that you’re used to.
Credit
Card Debt -- For many people, credit cards are the root of their
financial woes. Bankruptcy will remove credit card debt from your life,
allowing you the fresh start you need to succeed.
The Cons
Loan
Debt
-- Unfortunately, bankruptcy is not designed to remove student loan debt, but
it is a useful way to slow down the aggressive calls from collectors!
Nonexempt
Property -- Not everything you own is safe from bankruptcy. Be
prepared to potentially forfeit some luxury items that may not be deemed
essential.
Credit
Score -- It’s unavoidable that your credit score will take a
hit. However, many of the people who need to file bankruptcy are already facing
credit issues, so this is usually a price that many are willing to pay. In
other words, the benefits outweigh the negatives.
