I am on limited income (Social Security Disability) and am in debt due to the actions of a former "friend" of mine. I am considering filing for bankruptcy to get the creditors off my back, and to start over fresh after a certain period of time has gone by (not sure how long that is; I've heard 7 years.) I am a responsible person when it comes to paying my bills on time, and the only reason why I'm in debt right now, is because I had trust in the wrong person.
Can you please tell me what process is involved in filing for bankruptcy, if there are any costs (are people who are on limited income, exempt from any fees), and what some pros and cons there are in filing for bankruptcy. Please be as specific as you can. Thank you.
I'm actually going through it right now and I know several people who have done it. It's best if you have a lawyer who specializes in bankruptcy cases. He/she can walk you through it and will handle all the creditors phone calls from the time you sign up with them until it's over with. My lawyer lets me pay him out $50/month for however long it takes me to pay my balance. The total cost for this process for me is over $2,000. I am actually about to finally finish paying him in a couple of weeks. Once I pay the final payment, he will file for me which can take 30 days to get a court date then we go to court and then 90 days later I get my discharge papers in the mail. Pros of this is I can start fresh and rebuild my credit and in a few years I can look at buying a house or a new car. Cons of this are it's over $2,000 and it takes a couple of years for it to be erased from your credit report.
March 16th, 2007 at 9:17 am
Go to an office depot or office max and ask them for the bankruptcy papers..You can do it yourself!
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March 16th, 2007 at 2:55 pm
I'm actually going through it right now and I know several people who have done it. It's best if you have a lawyer who specializes in bankruptcy cases. He/she can walk you through it and will handle all the creditors phone calls from the time you sign up with them until it's over with. My lawyer lets me pay him out $50/month for however long it takes me to pay my balance. The total cost for this process for me is over $2,000. I am actually about to finally finish paying him in a couple of weeks. Once I pay the final payment, he will file for me which can take 30 days to get a court date then we go to court and then 90 days later I get my discharge papers in the mail. Pros of this is I can start fresh and rebuild my credit and in a few years I can look at buying a house or a new car. Cons of this are it's over $2,000 and it takes a couple of years for it to be erased from your credit report.
References :