Is Personal Bankruptcy Bad? Do I really need to consider my Bankruptcy Alternatives?
The average person in a financial crisis will naturally consider personal bankruptcy as a possible solution to their financial problems. Unfortunately the new bankruptcy laws that came into force in October, 2005, make it harder to declare bankruptcy, and so considering all bankruptcy alternatives is more important than ever.
Most people do not realize that with the new bankruptcy laws it is harder to find a good bankruptcy attorney because the new law could penalize the lawyer for errors or oversights that they make.
You are also required to go through a very stringent means test to determine if you even qualify for personal bankruptcy.
You must also meet with a credit counselor for credit counselling in the six months prior to filing for bankruptcy. If you do not meet with a credit counselor, your application for bankruptcy may be denied.
These new requirements make it even more important to consider your bankruptcy alternatives, including debt consolidation loans and other bankruptcy alternatives, because for many debtors, personal bankruptcy is no longer an option.
Posted by Bankruptcy Alternatives Blog
@ 12:48 PM
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