Filing bankruptcy is not the most enjoyable process you’ll ever have to go through. However, it has so many advantages for you that life after filing will be much better financially. Now, fearing you’ll lose everything, fearing Texas bankruptcy court, worried you won’t be able to afford a lawyer, that you will in fact be worse off after – these are very common concerns. There is nothing to be ashamed of when it comes to bankruptcy. Let this guide point you in the right direction to saving time, money, and headaches by filing Texas Chapter 7 bankruptcy.
Losing Everything (You Won’t)
One of the common misconceptions concerning bankruptcy is that all your assets will be taken. In fact, most bankruptcy filers, whether it’s Chapter 7 or Chapter 13 personal bankruptcy, lose absolutely nothing. That’s right: you do not lose your home and car. In cases where you are in danger of losing key assets, you still have plenty chances to keep them. There are rules to follow; technically in Chapter 7 your trustee will be in charge of liquidating assets. But again, few lose anything. The laws are designed to give, not take.
Fearing Debt
The Texas economy has been hit hard by the recent downturn in jobs and increase in bankruptcies, but not nearly as hard as other states. Where some states have incredibly high debt and foreclosure rates, Texas is in better shape. That means you are logically in a better economy for getting back on your feet. If you fear debts will be the end of you, Chapter 7 bankruptcy is an answer. All too often, home owners wait until foreclosure begins to get help. Or you try paying an exceedingly high medical debt off on a budget while trying to support a family. Debt is a problem with an answer.
Fearing Creditors
Creditor harassment is more of a reality than a fear. If creditors are making you loath coming home after working or sitting down in the morning, if your phone is a constant point of anger, you do have rights. First, if you file Chapter 7 bankruptcy, most creditor harassment will stop. Also, they have little right to your money after filing Chapter 7. In fact, you can keep your assets and be free of debt collections.
Lawyer Fees
Lawyer fees are a reality too, but a good one. Would you hire the cheapest doctor in town for heart surgery? Well, maybe that’s a bit extreme, but the fact you hire someone to help you with the legal process has far more benefits than downfalls. Lawyer fees are small in comparison to the benefits, especially if you can discharge tens of thousands in debt, be free of creditors, and keep all your assets.
Eligibility
Unfortunately there is a chance you won’t be eligible for Chapter 7 bankruptcy. This is because of new Bankruptcy Code basing eligibility on income. If you make more than the median income of Texas, you have to file Chapter 13. Texas Chapter 13 bankruptcy can save you a lot of assets too.
What You Can Fear
There really is nothing to fear when it comes to any form of personal bankruptcy. You can worry about the day to day things once you get through this. Consider it an opportunity, a fresh start financially.
