If you find yourself overwhelmed with excessive debt and you're considering filing bankruptcy, you're not alone.
According to Legal Technology Provider Epiq Systems, more than 1.2 million people per year file for bankruptcy in the United States.
While people may assume that a bankruptcy filing means that a person can't control their spending, and in some cases, it may, most people who file bankruptcy do so for other reason such as divorce, unemployment, and medical expenses.
According to the Bureau of Labor Statistics, more than 5.2 million people in the United States had been unemployed for six months or longer as of April, 2012.
A survey done by the Centers for Disease Control and Prevention (CDC) shows that 20 percent of families in the United States had problems paying medical bills last year.
If you find yourself in excessive debt, it may make sense to file bankruptcy, you will want to educate yourself on the process and implications as well as hire an experienced attorney.
Filing bankruptcy in Alabama may be beneficial if you've tried to negotiate with creditors or work out repayment plans without success. You simply don't have the means to pay your debts, and the income you make is just enough or not enough to pay your debts. You want to keep your IRA. In 2005, the Supreme Court stated that federal bankruptcy law shields individual retirement accounts from creditors.
There are some negative consequences to filing for bankruptcy to be aware of, even if bankruptcy is your only choice.
The mental stress, sometimes individuals who file for bankruptcy develops the feeling that somehow, they've lost, failed, or that they have no hope of ever turning their finances around.
Another reason you may not want to file for bankruptcy is because it may make obtaining credit cards, loans and lines of credit extremely difficult, if not impossible, for several years, credit agencies can report a bankruptcy for up to 10 years. Banks may be more reluctant to give you loans for a car or a home, and if they do, you will be considered a risk, so they may increase the interest rate on the loan, making the loan very expensive, and request a larger down payment.
Bankruptcies are also a matter of public record. Anyone can request to see a copy of the filing. This too should be considered, because if you're seeking a new job, prospective employers can find out about your financial issues which may impact you getting hired.
Bankruptcy is not something you should be embarrassed of or ashamed of.
If you are considering Filing Bankruptcy in Alabama, it's important that you speak to an experienced Bankruptcy Lawyer Birmingham to discuss your legal options immediately.
Contact Bankruptcy Lawyer Birmingham Steven Eversole toll-free, fill out our confidential online case evaluation form or visit our office in downtown Birmingham.
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