When there are no options left to handle the debt load, it’s time to consider filing for Bankruptcy in Avon, IN. Bankruptcy has the effect of restoring your life to normal, albeit with a poor credit rating. But, as time passes, the credit rating gets better, you are less likely to incur more debts, and you are able to keep what you make in your pocket instead of constantly spending it on debt. Many people say that they wonder why they waited so long to file once they realized how much relief that they gained once their petition was entered into the court.
One of the things that bankruptcy does is to stop creditors from contacting you. This is known as the automatic stay, otherwise known as a temporary injunction. Creditors can not make any attempt at collecting debts while the bankruptcy case is open. In fact, you can take the step to contact your creditors and inform them of the bankruptcy file number if you want to stop the calls sooner than later. Otherwise, you can wait for them to be notified through the court. Part of the petition includes entering the contact information of your creditors who are then sent an email or a letter to inform them of your filing and the injunction.
Provided everything goes smoothly with the bankruptcy filing, your debts are discharged permanently. How long this takes depends on which chapter you filed under, meaning it can be anywhere from four to 60 months before the bankruptcy is closed. What chapter of bankruptcy you file depends on the results of filling out the means test and going from there.
Remember that bankruptcy does not get rid of certain debts such as student loans, money owed from a lawsuit or child support/alimony. These debts are barred from discharge by law, which means they survive a filing. However, they can become more manageable because they are the only surviving debts. There is more money that is available after the discharge, making the bills that survive easier to pay.
If you are interested in filing for bankruptcy, contact The Wright Law Group, LLC to set up a consultation in order to learn more about the concept.