Attorneys Guiding Individuals Through the Difficult Process of Filing Bankruptcy

Chapter 13 bankruptcy questions

The question “When should I file for bankruptcy?” is not one that any individual ever wants to have to ask. However, the reality is that filing bankruptcy is sometimes the only option people have left in many cases. Financial problems are far from uncommon in the United States today. People all across the country may find themselves in varying degrees of struggles with money, but they are universally bound by the sentiment that there is often no greater cause of stress than money. For these situations, professional assistance is highly recommended. Information such as when to file for bankruptcy and what type to file can be provided by the services of bankruptcy lawyers in Michigan.

Compared to the year 2010, bankruptcy filings in the United States fell by about 182,000 in 2011. Unfortunately, despite the national downward trend in bankruptcy filings does not necessarily signal that the economy is improving. Instead, it more so reflects a realization by debtors that bankruptcy filing is not a fiscal panacea.

The type of bankruptcy an individual files is dependent on the circumstances of their specific situation. In 2011, 84 percent of Michigan bankruptcy filings were Chapter 7 filings. Liquidation is another name for the Chapter 7 form of personal bankruptcy. During a Chapter 7 bankruptcy filing, some of the assets of the debtor are turned over to a court appointed trustee and are then liquidated to pay on the outstanding debt.

One of the potential benefits of filing bankruptcy is that it is possible to rebuild your credit. This can be achieved with careful planning and financial management, as well as the services of bankruptcy attorneys. So for answers to questions such as “When should I file for bankruptcy?”, individuals in the state of Michigan can contact the bankruptcy attorneys in their area. Good references here.

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