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What Is Bankruptcy? 

Published on January 11th, 2022

Bankruptcy is something that should be taken seriously, as there are severe consequences to it going unresolved. Bankruptcy is defined as one lacking the necessary finances to pay off a debt.  This mainly relates to businesses and companies, where because of bankruptcy, one has to close their business, if a specific amount of debt is not paid off, within a time period. Moreover, one of the ways that the severity of bankruptcy is assessed, is when one has to file for bankruptcy, for their own business or company. 

During this process, debt that needs to be paid is given to a debtor, and time is given for the debt to be paid off. In the meantime though, one’s credit may be heavily affected. Now sometimes, people feel that the reason why they are in bankruptcy is unfair.  As such, they feel that the situation should be assessed in a more in depth manner. This is where a bankruptcy lawyer, can assist.  

How a Lawyer Can Help

What a lawyer can assist in doing, is ensuring that if one is having difficulty paying off a debt, any financial consequences that would usually come with bankruptcy aspects, can be fought against. This pertains to not only delaying any potential financial consequences,  but also assessing if costs can be lowered, based on the reason that someone is in bankruptcy as well.      

For example; one of the ways that a bankruptcy lawyer could assist is through a good bankruptcy law firm. This is a business, which ensures that people can get trusted legal advice. This advice would pertain to not just the bankruptcy situation that one is in, but also how they can better financially prepare for such difficulties in the future.  Moreover, you not only fight for your financial protection, through multiple ways. Some of them, include the following: 

  • Removing credit card billing
  • Eliminating medical bills and car loans   
  • Removing tax debt 
  • Eliminating lawsuits

Closing

These are some ways to further assess the causes for bankruptcy and how one can protect themselves from debt. For example; if someone has a financial lawsuit filed against them, then a bankruptcy lawyer can aid in fighting against potential legal consequences of debt. Then there are times, where credit card billing can be due to credit collection agencies looking for one to pay off a debt.  However, this can be under false pretenses, which is why a bankruptcy lawyer can help in fighting against the actions of these agencies.    If you are looking for a way to ensure that a bankruptcy attorney can assist with your current financial difficulties, please visit The Law of Ronald I. Chorches, for more information. 

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