Reasons Why You Should Not File for Bankruptcy
The parade of horrors felt by someone with huge debts is usually unbearable. With all these reasons, one may opt to file for bankruptcy as a means of dealing with their obligations. In fact, it sounds so easy that all you need is to hire an attorney, file some papers, and your debt is wiped clean. However, filing for bankruptcy is the worst thing you could ever do even if you see no way through your debts. There is still light at the end of the tunnel, and again, you can overcome this hard situation. The following are reasons why you should not file for bankruptcy.
Ruins Your Credit Card for a Minimum of Ten Years
Filing for bankruptcy releases you from your debt obligations. However, your inability to pay will reflect on your credit report for a minimum of ten years. It would damage the elements found in your FICO score. With low marks in your numerical assessment of the creditworthiness, it would be pretty hard to secure the credit of any kind. The interest rates will also be exorbitant.
Loss of Some Possessions
When you file for bankruptcy, you list all of your assets, and it is an offense to omit any of them. Bankruptcy often protects some of the necessary assets such as your car and house. However, you will have to sell some of the luxury things you own to help in settling the debts before the bankruptcy’s discharge.
Some Obligations Get Discharged in Bankruptcy
Filing for bankruptcy is an escape route for many debts. However, some obligations will not be slated off after filing for bankruptcy. Some of the non-dischargeable items include income taxes less than three years due, student loans, and child support or back alimony. Also, some of the court judgments passed for injuries or death as a result of your driving under any influence, debts from a marital separation, and debts incurred due to fraud are not upheld in bankruptcy proceedings.
You Become Part and Parcel of the Public Record
Most people want their financial status to be very private. However, proceedings in bankruptcy are public records. It means specific details about you such as your name will appear in the court documents. Your file is also more likely to look in the Legal Notices section in the newspaper. Through this, anyone can access your information even future creditors who had the interest to invest in you. Such listings also come with an attached stigma in your financial situation.
You Do Not Qualify to File for Bankruptcy Again for Six Years
Difficult financial situations lead to someone being unable to manage his or her expenses. It leads to debts and finally leads to filing for bankruptcy. For instance, you file for bankruptcy and then three months down the line you get involved in a traffic accident deemed to be your fault.
The other injured driver might sue you for a considerable amount of money. In such a case, you will be cornered because you already gave up your only method of protection by filing for bankruptcy and in which you will only file again for bankruptcy after six years.…
When selecting a law school, it is essential that you also consider its size. There are some advantages, why you should settle for a prominent law school. Once you have a variety of law course to choose from, and secondly, such law schools tend to offer more extracurricular activities compared to others. But one downside of going for such big law schools is that it can be difficult for you to make your mark in such a big school.