Cleveland Tennessee Bankruptcy Law Blog

Despite the fact that thousands of people file for bankruptcy every year in the United States, there are still a lot of misconceptions about the practice. For example, a lot of people assume anyone who has to file for bankruptcy is irresponsible with money. The reality is that many people simply need help restructuring their debts after falling on hard times. 

Although you will require legal help to get you through the bankruptcy, many people find they never have to speak to a judge during the entire process. You will likely have to go to court at least once, but this is far easier than most people imagine. Everyone's case is different, but chances are good you will find that filing for bankruptcy is simpler than you first thought. 

When home and car owners fall behind in mortgage and car payments, the fear, stress and anxiety can be overwhelming. Overwhelming debt can be difficult for struggling consumers to face each day which is why they should at least be familiar with legal protections and options available to them.

There are different types of personal bankruptcy protection that are available to help struggling consumers who either want to restructure their debts or liquidate their assets to repay creditors and enjoy debt relief and a fresh financial start. Different life events, such as the unexpected loss of a job or healthcare crisis, can result in an inability to pay the bills as they continue to stack up. This can be devastating to homeowners and others who wish to repay their bills.

The possibility of looming foreclosure may be one of the concerns that weights most highly on the minds of those struggling with overwhelming amounts of debt. It is important for anyone who finds themselves in that situation to be familiar with the different options that might help, including bankruptcy.

Foreclosure is a possibility when a homeowner has fallen behind on their mortgage payments. The foreclosure process is a lengthy process and typically does not begin until the homeowner is two to three months behind on their mortgage payments. There are different options that may be able to help and bankruptcy is one of them.

Bankruptcy filings continue to decline, however, bankruptcy filings in Tennessee continue to remain amongst the highest per capita for bankruptcy filings in the nation. Throughout last year, Tennessee was second in the highest number of per capita bankruptcy filings. The American bankruptcy Institute reported that bankruptcy filings for 2018 continued to decline overall for the ninth consecutive year but the bankruptcy rate in Tennessee was the second highest in the country.

Individuals struggling with overwhelming debt should understand that bankruptcy options are available to them. Different personal bankruptcy options may be available to help guide struggling consumers through the process of achieving debt relief. There are parallels between the different processes but different personal bankruptcy options are designed to help struggling consumers in different situations.