What to Know About the Pros and Cons of Filing for Bankruptcy

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You may be considering filing for bankruptcy if you are facing serious debt. During this time, you may want to weigh the pros and cons of this process. Continue reading to learn the most prominent pros and cons of filing for bankruptcy. If you have any further questions and need assistance with the legal process ahead, look no further than our experienced New York bankruptcy attorney who can walk you through the steps of the process ahead.

What are the cons of filing for bankruptcy?

Filing for bankruptcy does come with its consequences. This is why it is important that you retain the services of a skilled bankruptcy attorney who will assist you in learning the best route to take for your specific financial situation.

Some of the downsides of bankruptcy include the following:

  • Raising your insurance premiums
  • Being noted on your credit report for up to 10 years
  • Negatively impacting your ability to get a job
  • Difficulty getting a new credit card or line of credit
  • Difficulty renting from certain landlords who might be leery of those who file

What are the pros of filing for bankruptcy?

Filing for bankruptcy can benefit individuals who are struggling financially. One of the top benefits of filing is the automatic stay. An automatic stay will allow you to keep your home and prevent creditors from pursuing all collection activities. An automatic stay will be imposed on all creditors immediately after filing for bankruptcy.

Filing for bankruptcy also allows you to discharge your obligations to repay any of your dischargeable debts. Immediately following your filing for bankruptcy, you may begin improving your credit rating. You may even go through the bankruptcy process without losing any of your property including your home, car, pensions, IOA’s, and retirement accounts. You may also keep your life insurance policies and up to $10,000 in value of household goods.

To learn more about the benefits of this process, do not hesitate to reach out to our experienced bankruptcy attorney. Our legal team at the Law Offices of Allen A. Kolber, Esq. is prepared to assist you through your financial troubles. We will discover the best route for you to take. Reach out to our firm today to schedule your initial consultation with our team. We are here to help.

Contact our experienced New York firm

Bankruptcy, for many people, is a frightening endeavor. Fortunately, with the help of an experienced attorney, it does not have to be. If you require the services of an experienced Business Law or Bankruptcy attorney, contact the Law Offices of Allen A. Kolber, Esq. today to schedule a consultation and discuss your options. We will have your back every step of the way.