Filing for bankruptcy can be a good option for relieving crippling financial debts. When someone encounters tragic and costly experiences like a massive medical bill, bankruptcy may be their only way to recover and move forward.
In 2019, more than 750,000 people across the country filed for bankruptcy. These are people who were saddled with too much medical debt, personal loans, credit card debt and utility bills. All of these people were able to find a fresh start in their lives by freeing themselves of their enslaving financial shackles.
Also, more than 20,000 business owners in 2019 went into bankruptcy.
What bankruptcy can do for you
One of the most common versions of bankruptcy is Chapter 7 bankruptcy. This method frees you from the majority of your financial debts. People who execute this option sell off their non-essential assets to pay off their debt. Common forms of non-essential assets include:
- Expensive artwork
- Valuable collections
- Non-primary real estate
The bankruptcy court sells the assets to pay creditors. Some forms of debt, student loans for example, cannot be discharged in bankruptcy.
Once you file for bankruptcy, debt collectors cannot contact you for any old debt payments.
You are not alone in your recovery
Hundreds of thousands of people each year gather the courage to speak to a bankruptcy attorney about financial options. You have the power to take back your future and clean your slate.