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Three Situations to Consult a Bankruptcy Lawyer


When to file or declare for bankruptcy?

Debt and its consequences can adversely affect more than just your financial life. The stress and anxiety about the overdue bills may weigh on your mental health, leading to problems like depression and anxiety and possibly impacting your relationships as well. There are times when filing for bankruptcy can be the absolutely right and correct action for you. An experienced bankruptcy lawyer can thoroughly understand your financial situation and guide you in each step to address it for a brighter future ahead. Once you file for bankruptcy in New Jersey, you can overcome these financial obstacles and get back to living the life you want and achieve your goals. In many cases, you can still save meaningful assets like your home and your car in the process as well.


Here are three common situations in which consulting with a bankruptcy lawyer may be the right choice for you:


#1 You Are About to Lose Your Home


If you are too deep into debt, you may no longer afford your mortgage payments. And, if you don’t make these payments, the bank will take your home in a foreclosure sale. If you find yourself in this situation, filing for bankruptcy can be a way to save your house. Consult with a bankruptcy lawyer to decide whether this is the right option for you.


#2 You Are Constantly Paying Late Fees and Interest


When you are not able to make the minimum payments on your credit card, the banks will start adding fees or penalties to the bill. Moreover, you are charged an interest fee on your outstanding balance. In this situation, you will have to come up with even more money for the next payment, and the problem continuously compounds. This way your debt will only get overwhelmingly larger, and you may find yourself in a situation that it becomes impossible for you to repay. If you are stuck in a similar situation, a bankruptcy lawyer may help free you of your debts and get a fresh start.


#3 You Are Overburdened with Medical Bills


Personal bankruptcy happens for several different reasons in the United States, with one of the biggest factors being medical debt, according to the information published by Statista. If you recently got out of a hospital after suffering a major accident or recovering from a serious illness, you may find yourself deep in debt. Medical bills can be extremely high sometimes, even if you have medical insurance. You could be in a similar situation because a loved one is sick. If you find yourself falling behind in making payments to the hospital and being harassed with phone calls, you may want to seek help from a bankruptcy lawyer.


A fundamental goal of the federal bankruptcy laws enacted by Congress in the United States is to give debtors an opportunity for a financial "fresh start" from burdensome debts, according to the information published by U.S. Courts. So, a bankruptcy lawyer can help you get a handle on your financial life and start over.

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