How Long Should I Wait to File for Bankruptcy?
For some people, waiting to file for bankruptcy is like waiting on a sinking ship for something good to happen. When a person’s financial situation is in dire straits, it’s of the utmost importance that they file for bankruptcy as soon as possible. That’s why I’m giving you more reasons you shouldn’t wait to file for bankruptcy (when you need to of course) and at least consult with a reliable Phoenix bankruptcy attorney.
It’s been detailed at length just why you should not wait until you’re out of options to file for bankruptcy, but everyone needs reminders. Say you’re in major debt, but you’re simply trying to patch up a hole with a temporary solution rather than a permanent one. This can be extremely stressful and trying for any relationship and ultimately ineffective. Instead of trying to patch up gigantic holes, it would be better to file for bankruptcy as soon as possible. The longer you wait to talk to an experienced bankruptcy attorney, the more you will end up paying to creditors and the longer it will take to get your life back on track.
Nevertheless, there are various blogs that advise people to wait before filing for bankruptcy. In certain instances, you are actually required to wait by law. For example, you can’t file for Chapter 7 bankruptcy again for eights years after you’ve already filed. The wait times depend on what type of bankruptcy you previously filed and what type you are going to file.
Another reason people usually advise others to wait a while before filing for bankruptcy is if you recently lost a job and your income was really high. If this is the case, sometimes you might only pass the means test for Chapter 13 and not Chapter 7. Waiting might allow you to qualify for Chapter 7 bankruptcy because your once high income is no longer in your recent history.
However, another reason people give to wait before filing for bankruptcy is so you can rack up more debt before you file. As was recently discussed in a post, this is not only a highly immoral thing to do, but it is usually considered fraudulent debt and will therefore not be dischargeable.
If you find yourself being increasingly hassled by debt collectors but fear the ramifications of bankruptcy, you need to allay your worries. Believe it or not, filing for bankruptcy can take a huge burden off your shoulders. Again, don’t wait until the ship is completely under water before talking to a bankruptcy attorney. Make an appointment for a consultation as soon as possible.