There are a variety of reasons why individuals may need to file for bankruptcy. During 2013, for example, two million people needed to file for bankruptcy due to having unpaid medical bills. When businesses experience rising expenses or ongoing cash flow issues, this situation can potentially lead to the need to file for bankruptcy. It’s important to note, however, that there are specific criteria that need to be met in order to be able to file. Furthermore, when someone does successfully file for bankruptcy, all debts may not be discharged.
A Brief Overview of Bankruptcy Filings in the United States
The chapter type and number of bankruptcy filings will vary from year to year. During 2013, for example, 333,626 Chapter 13 bankruptcies were filed. A total of 8,980 Chapter 11 bankruptcies were also filed during that year.
A Few Details on Chapter 7 Bankruptcies
There are several factors that will determine whether or not a business is able to file for a Chapter 7 bankruptcy. This is why it’s important to consult with an attorney to determine whether filing for Chapter 13 would be the more appropriate course of action. In general, however, a Chapter 7 bankruptcy will be completed in approximately six months. After a Chapter 7 bankruptcy has been arranged, it will then remain on a person’s credit report for ten years.
Schedule a Consultation With a Bankruptcy Lawyer
If you are looking for solutions to find debt relief, it would be a good idea to discuss your financial situation with a bankruptcy lawyer. Since you might also be concerned about the costs associated with filing for bankruptcy, you may be interested to know that it could be less than $500.00 to file for Chapter 13 in Texas. Furthermore, it’s likely there is a low cost bankruptcy attorney in your area as well.
Prior to meeting with your attorney, remember to create a list of questions as well as collect all of the relevant financial records. Once you meet with your attorney, you will be able to learn more about your options and obtain legal advice.