Bankruptcy: Top Reasons for Filing

Ever wonder what the top reasons are for filing for bankruptcy? There are several and they have affected thousands of people in 2010 alone.

To start, many people want a clean slate and can only accomplish this by declaring bankruptcy. Through a process called discharge of debts you can get a fresh start through Chapter 7 bankruptcy, also known as straight bankruptcy, or Chapter 13 bankruptcy which involves reorganization of debts.

Other debtors have chosen bankruptcy to stop foreclosure on their homes. Some types of bankruptcy will allow you to make reduced payments to make up for payments where you may have fallen behind. If this is the case then you will choose Chapter 13 bankruptcy  to stop the foreclosure before the sale of your home.

And finally, when loss of employment severely affects your financial situation, filing for bankruptcy may be the only way to get back on your feet. This is especially true in households where both spouses have lost their jobs.

If you're on the verge of filing for bankruptcy, get the legal help you deserve by contacting our firm and speaking with a Chicago bankruptcy lawyer.