5 Signs It’s Time to Consider Bankruptcy

January 31, 2016

Signs It’s Time to Consider Bankruptcy

Signs It’s Time to Consider Bankruptcy

Dealing with debt is a common part of life for many people over the course of a lifetime. When debt becomes overwhelming and doesn’t go away, however, taking more aggressive action with the help of a professional may be necessary. And one of these actions could be filing for bankruptcy.

If you have been considering bankruptcy, here are some common warning signs that it’s time to move forward and contact a bankruptcy lawyer to find out more about how bankruptcy could benefit you.

  1. Your debt is growing, despite your efforts to stop or reduce it – Have you been living on a budget and putting everything you can towards your debt for a while? Is your debt stagnant, despite this, or possibly growing? Are you unemployed and facing growing debt?If so, bankruptcy may be your best option for eliminating that debt and obtaining a financial fresh start. That’s because, if you qualify for Chapter 7, debt like credit card debt, medical bill debt, etc. can be discharged. Even if you don’t qualify for Chapter 7, other bankruptcy options can help you stop the debt cycle and develop and effective plan for becoming debt free.
  2. You can’t pay your monthly bills – Has it been more than two months since you have been able to pay all of your monthly bills? Is there no other foreseeable income coming your way in the near future?If so, again, it may be time for bankruptcy. The longer you wait to seek professional debt relief help when unpaid bills cause debt to snowball, the more complicated your debt problems can become.


  3. You are considering risky borrowing options or money sources – Have you been considering taking out a payday or auto title loan? Are you considering cashing in a retirement fund to climb out of serious debt?If so, stop thinking about these risky options that can worsen your financial situation, and start thinking about bankruptcy. While payday/auto title loans are incredibly expensive, especially for those struggling with money, cashing in a retirement fund is a hasty move that could come back to haunt you in the future. Bankruptcy, on the other hand, could alleviate your debt problems while potentially helping you get your finances back on track within just a few years.


  4. You are getting warnings about impending wage garnishments, repossession and/or foreclosure – Don’t ignore these warnings. Contact a bankruptcy lawyer if you have received such notices because filing for bankruptcy could stop any and all of these actions from proceeding.
  5. Your creditors are planning to sue you – Just as you shouldn’t ignore warnings of garnishments, don’t ignore warnings of creditors’ lawsuits. Filing for bankruptcy can also stop these legal actions from moving forward.

Contact Colorado Springs Bankruptcy Lawyer Jon B. Clarke

If you are struggling with debt, it’s time to contact Colorado Springs Bankruptcy Lawyer Jon B. Clarke.

Call (303) 779-0600 or email our firm using the contact form on this page to find out more about your best debt relief options, as well as how Attorney Jon B. Clarke can help you obtain the financial fresh start you need and deserve. You can also complete our Business or Consumer Debtor Analysis Form when you are ready for more precise answers and professional advice.

From our offices based in Denver and Greenwood Village, we provide people throughout Colorado with the highest quality debt relief legal services.

Categories: Bankruptcy, Debt, Financial Tips