The financial demands of having a family can mean that you spend more money each month than what you earn. Many people find that they lose track of what they are spending because of their use of credit cards and loans to fund their lifestyle. When they finally sit down to calculate the extent of their debts, they are often very surprised.
If you feel overwhelmed by your debts and dream about a fresh start in which you do not feel burdened by constant reminders on unpaid debts, Chapter 7 bankruptcy could be the right choice for you. While the disadvantages mainly consist of the involvement of asset liquidation and the significant impact on a debtor’s credit scores, the benefits of Chapter 7 are many. The following are some of the reasons why Chapter 7 bankruptcy could change your life for the better.
The process is completed very quickly
Many bankruptcy chapters, including Chapter 13 bankruptcy, can take a matter of years to complete. However, Chapter 7 bankruptcy can be completed in a matter of months.
You will be able to gain a fresh start
Chapter 7 bankruptcy usually involves a complete debt discharge. This means that filers can walk away from the proceedings without any debts whatsoever, even if the assets liquidated in the bankruptcy were not enough to pay off the debts.
If you feel hopeless about your financial situation, and you have a low income, Chapter 7 bankruptcy could be the right option for you. By being proactive and understanding the process in full, you may be starting a journey that will change your life for the better.
