Impact of Bankruptcy

You Can Stop Debt Collectors
Filing means submitting your documents, called a Petition, with the Court and having a File
Number assigned. Once this is done, an Automatic Stay is put into effect making sure debt collectors may no longer contact
you directly to attempt to collect the debt. This does not apply if you are
representing yourself in your own filing, however.

Under normal circumstances, if you hire an attorney
to represent you, the creditors must contact your attorney. If you represent
yourself, then they are allowed to contact you even after you have filed.

Benefits Of Filing Bankruptcy
The most dramatic benefit to filing for bankruptcy in Florida is that creditors must immediately cease collection actions
pending the outcome of the bankruptcy. As soon as the petition is filed by your Florida Bankruptcy Attorney, your creditors will receive notice and they must stop contacting you. If they do continue to contact you, please let your Florida Bankruptcy Attorney know. Anther major benefit is that
it allows you to start over from scratch without burdensome debt, and with
some assets to minimize the risk of your being bankrupt again.
The Bad Side Of Filing Bankruptcy
Obviously the worst effect is the negative impact on your credit record.
Once you file bankruptcy, it stays on your credit report
for 10 years.
And, considering that you can only file once every 7 years, this is a considerable
amount of time to carry such a negative mark on your credit.

Filing bankruptcy can make it more difficult for you to obtain credit, buy
a house, car, or get other financing. However it isn’t impossible to get financing,
just harder, and your interest rates may be higher than someone who had never
resorted to filing. On the other hand, creditors know you can’t file for another
8 years or so, and many are quite happy to extend credit to you right away after
filing.
Is Filing Bankruptcy Right For You?
The best way to determine whether or not to file for bankruptcy is to talk to an attorney.

Filing bankruptcy is drastic but can also be the fresh
start you need.
Bankruptcy is really the very last resort for debt relief. If you can’t afford
to pay your bills, you have no savings, and have tried credit counseling,
then consider filing.

The bottom line is … if your budget won’t sustain the ability
to payoff your debts within 5 years, you need to consider bankruptcy.

If your budget does allow you to live reasonably, and payoff your existing
debt, but you need to tighten your financial belt a little, I recommend
you do that.

You should contact your creditors directly, or have a Florida Bankruptcy Attorney contact them for you to create a repayment plan you can both live with, then stick to it.

If you just can’t deal with the financial stress, and your budget just won’t
stretch, then don’t let fear, shame, or pride stand in your way. Bankruptcy
is not debtor’s prison, you can survive, you can come out of it better … bankruptcy
can be the light at the end of the tunnel.

With the new laws now in effect, we strongly recommend you find a qualified
Florida Bankruptcy Attorney in Tampa or Orlando that knows the bankruptcy laws and exemptions in your applicable
state.