Debt is scary. When you open up your account and see that you owe more money than you can spare, it can quickly become overwhelming. Sometimes, the stress leads one to believe that the only remaining option is to file for bankruptcy.
Although bankruptcy doesn’t have to be the end of the world, it is best to leave it as a last resort option. If you can no longer pay any of your debt and have done all that you can to try and get afloat, bankruptcy may be your only option and ironically, the best option.
Before you make your decision, see if there are any other things you can do before calling for bankruptcy help in Scottsdale.
Sell, Sell, and Sell Some More
When the word bankruptcy comes to mind when you look at your finances, that is when you know you need to take immediate legal action. See what you have that you can afford to live without and sell it. The more quick cash you can bring it, the more debt you can pay off and avoid filing for bankruptcy. But do not do anything until you seek counseled advice from licensed bankruptcy lawyers.
Bring in More Money
See if there are ways that you can bring in more money each month. That additional income could go straight to your debt to pay it off quicker. There are many side-gig jobs available that will pay a decent wage. Whether it be a skill you have that you can teach to children, or are crafty and can sell items, there are lots of little things you can do for extra cash.
Crack Down on Your Spending
If you still have a bit of time before you have no choice but to file for bankruptcy, sit down and go through your spending habits. See where you can make cuts and by how much. Set up a budget based on your monthly income, and try to get as much money going into your debt as possible. But do not do any of this until speaking to a licensed bankruptcy lawyer who can and will help you map it all out in advance—do not guess on the right steps, let your lawyer show you the actual steps to make as you go. This feels better, a lot better, as you go.
Ask for Help
There is no shame in bankruptcy. The President of the United States has done it. It is so easy to get ourselves into debt, and so hard to get out of it. Maybe all you need is a small loan from a family member to get your payments back on schedule. Asking for help from family, friends, and professional financial people can help keep you on track to avoid bankruptcy. Your lawyers too will show a way out.
If you’ve done all you can and bankruptcy is your only hope, do not fret. Bankruptcy does not mean the end. Although it will affect your credit score, you can then get yourself back on your feet and start over. Your bankruptcy attorneys will show you through the tunnel to the next and hopeful life phase beyond discharge.