While bankruptcy can be helpful for many people, it is critical to know the positives and negatives before you declare bankruptcy. Virtually all Oregon bankruptcy legal professionals can explain what exactly you will need to do, what the legal requirements are for filing bankruptcy, and whether you qualify for Chapter 7 or Chapter 13 bankruptcy.
The most popular is Chapter 7, in which all of your debts are eradicated. With a Chapter 13 bankruptcy you will be entered into a program that allows you to pay off your debts in a period of up to five years. When you finally speak to a bankruptcy lawyer you can then take the steps to file for the one that meets your requirements.
Following bankruptcy you might have to go through some challenging times, but your overall money picture could possibly be better than before. Since newly released changes in federal bankruptcy laws require you to undergo financial counseling, you might be better able to budget your money and with that new-found discernment you can start to regain your credit after an Oregon personal bankruptcy.
There are a lot of lenders that see the word bankruptcy and at once turn their backs but there are a lot of more that understand that you have basically hit the reset button on your finances and are starting all over again. Actually, some like the thought that you have no debt and the lack of ability to file again for personal bankruptcy for at least seven years.
Numerous credit card providers may be happy to give you a chance to regain your credit starting you off with high-interest credit cards with a low limit of $200 or $300. However, before you apply it’s essential to remember that after you go to court for bankruptcy it will not be finalized for at the least six months.