Bankruptcy might help you avoid penalty in this case,

but it may ruin your future.

Lawyers will help you on a specific case, but won’t responsible to your whole life. Whether bankruptcy is the right solution to your financial problems will depend on your situation, nobody here can give you the answer.

If you are contemplating bankruptcy, you should consider discussing your options with an experienced bankruptcy attorney.

What Are the Disadvantages of Filing for Bankruptcy?

Because filing for bankruptcy may affect your finances for many years, you should carefully weigh all of your options before filing. Some disadvantages are:

-- If you are unable to exempt all of your personal property or real estate under the bankruptcy exemptions, some of your property may be seized by the bankruptcy court and sold to pay your creditors.

-- Your bankruptcy will be noted on your credit report for 7-10 years.
Many credit card companies will automatically cancel your credit cards when you file for bankruptcy.

-- A recent bankruptcy filing may hinder your ability to obtain a mortgage or loan for many years.

-- Tax refunds from federal, state or local governments may be denied based upon your bankruptcy.

-- If you are looking for a job or housing, some employers or landlords may look unfavorably on a recent bankruptcy filing.

-- You may be precluded from being named a director for limited liability companies.

-- After your bankruptcy, some debts, such as student loans, many types of tax debts, liens, support orders, or fines may be non-dischargeable.

What Are the Advantages to Filing for Bankruptcy?

-- Filing for bankruptcy will trigger the automatic stay, preventing creditors from taking action to collect their debts, including calling you, suing you, or sending you letters.

-- You may be able to discharge your obligation to repay any of your dischargeable debts.

-- By using the bankruptcy exemptions, many debtors can go through the bankruptcy process without losing any of their property.

-- While a bankruptcy filing will remain on your record for 7-10 years, because many debts can be discharged in bankruptcy, many debtors begin improving their credit rating after filing for bankruptcy.