There are options before and after filing for bankruptcy. Bankruptcy options include the filing of a proposal before filing a bankruptcy, if successful a bankruptcy may not be necessary. A bankrupt individual can also file a proposal to get out of a bankruptcy if their situation improves. People who already have one or more bankruptcies on their record may choose a proposal instead, because of the impact on their credit report.
There are other options for people having debt problems, debt settlements or negotiated payment arrangements with specific creditors can be very helpful for some people. Bankruptcy should never be the first solution for getting out of debt, but it is good to know that the process is administrative and relatively simple. Bankruptcy allows honest debtors to get out of debt and get on with life.
There are also in effect two types of bankruptcy filing, the most common one is called a summary bankruptcy the other is an ordinary bankruptcy. Summary bankruptcies are for consumers with relative few assets and cannot be used by corporations. Ordinary bankruptcies may be filed either by consumers who have a lot of assets or by corporations or companies wishing to resolve their debt problems with a liquidation.
When considering bankruptcy options make sure that you include a visit to our office for a free consultation and to learn more about the best options available for you.