If you are struggling with your finances, you might start to find yourself contemplating bankruptcy. Of course, there are a lot of things to consider before taking such a drastic legal step. To help you figure out whether you might be ready to file for bankruptcy, you will want to take a look at the following three points.
You Cannot Increase Your Income Enough
Sometimes, getting caught up with your bills is just a matter of adding a little more income to your monthly budget. If all you need is a little bit of extra money each month in order to cover your monthly bills, then you might be able to take on some overtime at work or get a second job. However, if your monthly expenses far exceed the amount of money you could possibly bring into the home, even with an extra part time job, then you might want to talk to an attorney about bankruptcy.
Your Creditors Refuse Payment Arrangements
If you have enough money each month to cover your bills and maybe a little extra, you might be able to afford repayment plans for the bills that you are past due on. Simply catching everything up to date in one payment is too difficult for many people to accomplish. You will need to get in contact with your creditors to ask for a payment arrangement that you can afford. If they refuse a payment plan or a plan that you can afford, then you might need to think about filing bankruptcy.
You Cannot Take The Daily Phone Calls Anymore
Creditors are allowed to call every single telephone number that they have on file for you every day of the week. This means that they can call the house phone, all cell phones, your work phone, and even your parent's number if they somehow got that listed in their files. By the end of the day, your phones could have been ringing off the hook and you could have several messages to listen to. Not to mention, getting collection calls at work or at a family member's house can be rather embarrassing for some people. If you have not been able to make arrangements to get your account current and you cannot deal with the daily phone calls anymore, it might be time to consider filing for bankruptcy.
With those things in mind, you will be able to decide whether it is time to consult a bankruptcy attorney. He or she will be able to closely examine your debts, income, and assets to determine the best action to take. He or she will be able to closely examine your debts, income, and assets to determine the best action to take.