Hi - my name is XXXXX XXXXX I am a Bankruptcy and Consumer Protection attorney here to assist you.
In the overwhelming majority of cases, it is far more advantageous to file a Bankruptcy when one is struggling to pay one's bills, than to try to negotiate with one's creditors.
This is because there is no advantage involved with negotiating with one's creditors - as one's credit rating will dip substantially if a creditor agrees to negotiate - and once there is a judgment involved (as there will be because of the lawsuit), one's credit dips even further.
Whereas, filing a Bankruptcy results in a gradual increase in one's credit score, and discharges any judgments already on one's credit report, and prevents any judgments that have not already occurred.
Additionally, when there are a number of creditors involved, there will often be at least one creditor who will not negotiate - leaving a debtor will at least one potential judgment.
Sorry for the late reply. Your answer would not show up, until today. If I do file BK, what options available? I know there is a 7 and 13. 7 wipes out debt and 13 sets up a payment plan. How does the lawyer determine which one is best for the debtor? I'm sure it is a individual case by case basis, but does one provide more protection than the other? Does a BK have the potential to hurt you with your job?
Thank you for your response.
If I do file BK, what options available? I know there is a 7 and 13. 7 wipes out debt and 13 sets up a payment plan. How does the lawyer determine which one is best for the debtor? I'm sure it is a individual case by case basis, but does one provide more protection than the other? Does a BK have the potential to hurt you with your job?
AGI = 118,000
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