Debt Settlement Experts California

2013 still many struggling to get out of debts and cannot file bankruptcy

It is amazing to know that we are in 2013 and a good chunk of Americans are still reeling from debt. In fact the number of Americans who suffer from the cycle of debt is a depressing scenario. All the more reasons perhaps, to look at the logical and legal forms of managing debt in 2013. Debt from medical bills, credit cards, and mortgages often add up and make things more difficult for those already in debt. Under the circumstances, settling your debt is a much needed important solution that you must consider for your own peace of mind and that of your family’s. In this regard, one might consider bankruptcy as a viable option. Few people perhaps understand that bankruptcy is a legal process designed to cure debt and stop the collection calls that can be harassing for the debtor.

If you are struggling with debts, there is no reason why you should not file for bankruptcy. It is usually a good option for those who have lots of unsecured debt and very little income. There might be unemployed people who have run into debts by using their credit cards or payday loans in order to sustain themselves.

But in spite of the fact that bankruptcy is a solution for debt settlement, most people find it to be a drastic step and try and avoid it. The reasons for this are many of course. While some see it as something of a prestige issue to declare themselves bankrupt, others think it would invite utter despondency in their credit record.

There is actually no reason to be scared or embarrassed about bankruptcy and actually it is truly the best option for you at times. Also it is better to opt for bankruptcy rather than do nothing about being in debt. But before you file for bankruptcy, you should know what it entails.

There are many people who mistakenly think that you would lose all your assets if you file for bankruptcy, but the reality is that a good lawyer, who knows the ins and out of the laws can get you to keep all your assets that are covered by the exemption law in your state. Most states have their own law under which some assets are exempted.

As a result most of the people who file for Chapter 7 bankruptcy are able to keep all of their property. Your advocate would advise you to liquidate any unprotected assets that you may have in order to pay back your creditors.

As an obvious impact of filing for bankruptcy your credit will be hurt for a certain period. But this is often a small price to pay for being debt free. Also it is in fact easier once you file for bankruptcy to improve your credit rating later on. There are others who fear the humiliation that their friends or neighbors will find out about their situation and that could be embarrassing. Some others also fear harassment in court by their creditors.

Although filing for bankruptcy is a difficult decision, many of the fears are not real. In fact most people’s credits improve after filing for bankruptcy. This is because, once a person files bankruptcy, all of their debts are discharged which means that there are no longer delinquent payments being reported which drag down their credit score. The moment you’ve decided to do something about your being in debt, you should not hesitate to talk to a lawyer, who is experienced in debt settlement. Such a person can help you go though this decision and explain how the whole process works.

Filing for bankruptcy will in fact stop you from getting collection calls. In this way most people have their debt eliminated in three months or less, and you are entitled to start afresh. Bankruptcy is also the only debt relief solution which comes backed with the power of law.

Bankruptcy laws change periodically, but there have been no new laws passed that affect bankruptcy filings since 2005. As mentioned before, the stress of talking to a lawyer in such cases cannot but be stressed. An attorney can tell you about the pros on cons and advice you on the best way to go about things. Shah Peerally, is a California based debt settlement attorney and his firm the Shah Peerally Law firm can help you in this regard with the necessary advice. You can also schedule a consultation with the firm even if you are undecided on what needs to be done, so that the lawyers here can help you out with the best legal advice possible.