If you are reading this, you probably already know that debt can consume your life even as you struggle to pay down all of your bills. It is like taking a step forward only to be knocked back a few steps. If an emergency arises such as a serious illness or the sudden loss of income, any balance you may have reached will soon disappear, leaving you in even worse financial trouble.
No one likes to think about bankruptcy as a solution, but, in some cases, it truly is the best option to take back control over your life. We recently spoke about the upside and downside of filing a chapter 13 bankruptcy. Now, we would like to tell our Wisconsin readers about a few of the pros and cons associated with chapter 7 bankruptcy. For those in serious financial trouble, this information could help you decide which option will best meet your needs.
Cons:
- You may have to give up some of your valuable personal items
- You will lose all of your credit cards
- You will not be able to get a mortgage for some time
- You will be required to talk with a judge about your debt
Pros:
- The process of completing chapter 7 bankruptcy is typically fast
- You will be able to keep a portion of your personal belongings
- Chapter 7 puts an immediate stop to debt collection attempts
- You will be relieved of many financial obligations
As with all financial decisions, it is unwise to rush into any type of bankruptcy program. For best results, take a good look at all of your options and review your financial situation with an objective eye before you commit. You can learn more about debt relief solutions involving bankruptcy on our website.
