Lawyer Referral Service

LRS Blog

Posted by: Maricopa Lawyers on Nov 1, 2013

Considering bankruptcy can be a scary and exhausting thought process. Before you consider bankruptcy, it’s always recommended to take a look at a few different options, and get varied opinions from professionals.

The first step should always be to contact your creditors and try to work out some sort of a payment plan. By explaining your specific situation and why making your payments is not an option at this time, you and your creditors may be able to come up with a new arrangement.

Another option is to seek out consumer credit counseling. By enlisting the assistance of professional credit counselors who have experience working with other creditors, you may be able to get your payment and interest rate reduced. According to new bankruptcy laws, it is now required to work with a credit counselor before even filing for bankruptcy.

Getting help from your family and/or friends is always an option as well. Chances are, you may know someone close to you who has been close to bankruptcy or has gone through it in the past. They will more than likely be able to offer some helpful advice or tell you how they had to deal with the pains of filing for bankruptcy.

Taking out an additional mortgage on your home or even selling some property is another good way to avoid bankruptcy. If you’re in debt and are already seriously considering bankruptcy, take a look at some of your belongings like a second car or other valuable items. Working with an appraisal can help determine which of your items will turn the most profit.

No one likes to even think about filing for bankruptcy, but working with trained professionals can help you make the tough decision to either file for bankruptcy or avoid it altogether.