Using Bankruptcy to Get Ahead Of Your Creditors

For individuals that have run into financial difficulties that they are not able to find solutions for it can be devastating for them. Not only do they feel guilty about not being able to meet their debt obligations they are filled with the stress of having to deal with the creditors who are unrelenting in their efforts to collect what is owed to them.

If you have no options for repayment to be able to offer your creditors then there is no doubt that you feel lost. The first step you should take in this situation to empower yourself is to contact a qualified bankruptcy attorney who can tell you which chapter of bankruptcy relief would be best suited for you and what you can qualify for.

Once you have started a bankruptcy filing your creditors are notified of this and they must cease in their actions for collection. You should not feel guilty about doing this as it is not something that you are blatantly trying to avoid paying, as you have no other choice.
It will depend on which chapter of bankruptcy that you are entering into as to how your creditors will be handled. In a Chapter 7 bankruptcy, many of your creditors may not receive payment at all. In the Chapter 13 bankruptcy depending on the categorization of your creditors, some may receive a full payment while others will only receive a portion. Then there are those that may not receive anything.

When you have no other options available to you to satisfy your creditors, the only way that you are able to get ahead of them and take control of the situation is by using bankruptcy as your form of debt relief.