If you are considering Chapter 7 bankruptcy protection, you may wonder if the timing of your bankruptcy matters. For most, the answer is yes. After all the goal, is to emerge from bankruptcy in better financial shape so discharging as much debt as you can is in your best interests. For example, if your financial situation has worsened because of medical costs related to an illness, you may want to wait until you have incurred the bulk of medical charges before filing bankruptcy so that they will be included in your filing.
On the other side of that coin is waiting too long to file bankruptcy. If you are in a situation where a creditor has filed a lawsuit against you for failure to make payments on a loan or credit card, for example, it may be in your best interest to file bankruptcy quickly before a creditor wins a judgment resulting in lien rights. If you file while the case is still pending, you can stop the action and put a stop to wage garnishment, car repossession or a foreclosure on your house by the creditor.
For Many, Deciding When to File Bankruptcy Is Important
Bankruptcy is a complex area of law. If you are in a difficult financial situation, it is important to seek the help of an experienced bankruptcy lawyer who can provide you with the best strategy for your unique circumstances. Contact Peoria Illinois bankruptcy lawyer Charles E. Covey for immediate assistance at 309-674-8125.