Moving Forward after Bankruptcy

Sometimes half the hurdle is making the decision to file for bankruptcy. For some, filing Chapter 7 or Chapter 13 bankruptcy is an easy decision, for others who have fought so hard against it, the decision might not be so easy, even when it is the most logical one to make. After you have filed bankruptcy, what happens from there? What courses of events need to take place before you can face a brighter tomorrow?

Keep in mind that once you have filed your bankruptcy petition, an “automatic stay” will be placed on all debt collection activity. The automatic stay prevents creditors from contacting or collecting from you for the duration of the bankruptcy. In addition, the automatic stay puts an end to wage garnishments, leaving you with your entire paycheck so that you can pay for your everyday necessities. For more information about bankruptcy, contact a Dupage County bankruptcy attorney.

The peace of mind that you will experience once you have filed your bankruptcy petition will certainly relieve a significant amount of stress in your personal life; bankruptcy has even spared marriages and relationships with children. It’s no secret that one of the leading causes of divorce is money.

Life after Bankruptcy

When considering bankruptcy, make sure you factor in that most people’s credit is already shot by the time they file for bankruptcy. Once you have emerged from bankruptcy, credit doesn’t repair itself. It will be entirely up to you to make sure that you develop a budget and stick to it. This is the time to consciously avoid whatever events drove you to bankruptcy in the first place, even if they were out of your control.

Staying in one residence for a number of years shows potential creditors that you have stability, keeping the same job, not becoming overdrawn on your bank accounts and most of all, paying your bills on time will help you to slowly re-establish a good credit standing. Applying for credit and auto loans, although interest rates might be high, will benefit you in the long run if you pay them on time. In many cases, people can rebuild their credit faster after a bankruptcy then if they struggled with their unmanageable debts alone.

Dupage County Bankruptcy Lawyer

Would you be interested in finding out more about bankruptcy? If so, contact a Dupage County bankruptcy attorney from the Law Office of Joseph P. Doyle today!

Contact a Dupage County bankruptcy lawyer from our firm for a free initial consultation.