Lee Legal

If you find yourself in an impossible financial situation and can’t see any way out, bankruptcy may be a good solution for you.  Bankruptcy can help you reduce or even eliminate your debts.  Bankruptcy also provides potent protection against creditor collection efforts and harassment.  While bankruptcy can help ease your mind financially, however, it can also cause stresses of its own.  Below we will explore some techniques to prepare you for getting through the bankruptcy process with your sanity intact.

UNDERSTAND THE PROCESS

An experience bankruptcy lawyer in D.C. should thoroughly explain to you the basic process and timeline of your bankruptcy.  A Chapter 13 bankruptcy will typically last three to five years, while a Chapter 7 bankruptcy will typically be completely administered in just three to four months.  You should remember that the effects of bankruptcy will not be with you forever.  Over time, you will not feel the effects of the bankruptcy at all.  Within the first year, you’ll begin getting credit card offers and be able to obtain car financing.  After another year, depending on your circumstances, you may even qualify for a home loan.  The bankruptcy will remain on your credit report for up to 10 years, but the impact of the bankruptcy on your credit rating and score will begin to diminish immediately after your case is closed. 

TALK ABOUT IT

For many people the idea of declaring bankruptcy is embarrassing.  You should have a close friend or family member with whom you can candidly and confidentially discuss your financial situation.  Talking about your situation is very therapeutic and can help you to identify the problem areas in your life.  A person with a different perspective on your situation can help you decide how to solve the problems you are having, and how to accept and manage the things you can’t fix.  Through discussion, you can find ways to help minimize the impact of the bankruptcy on your life. 

THINK AHEAD

You should establish a clear plan for reestablishing good credit once you emerge from bankruptcy.  You attorney can help you fashion a strategy catered to your specific situation.  Your primary objectives should be to steadily rebuild your credit and your savings.  You will want to create a budget that is both realistic and geared toward your personal financial goals.  Being debt-free is a liberating feeling.  You should consider your bankruptcy a fresh start, and an opportunity to stabilize your long-term finances.

TAKE A BREAK

Once your bankruptcy case is closed, you should plan on resetting your mental state, too.  Although you might not be in a position to take an expensive vacation, you should treat yourself to a dinner out or a special night with your friends or family.  Make some time for some activity or pastime that you find enjoyable.  Bankruptcy will help ease your mind financially, but you may need to employ several of these techniques to help you ease the stress of the process itself.