It is obvious that at some time in our lives, we will end up with problems that we do not know how to get out of. This could be a charge for being drunk while driving, or it could well be that we owe money that we just cannot pay. Whatever it is, it is most important that we seek the help of a professional to see us through this troubling time and this is where a bankruptcy attorney comes into the picture. Bankruptcy lawyers are well- versed in the court procedures that we often have to go through in order to come out the other side in one piece and with some of our dignity intact.

As with anything financial, we often assume that we can do no more than give up everything that we have worked so hard for. Indeed, many people are under the mistaken notion that this is the only thing that will satisfy those that we owe money to. On the contrary, making someone sell everything that they own may not cover all the debt anyway so this is not always the best option for sure.

What the creditors would rather do is to have some kind of undertaking that the debts will be paid off, albeit more slowly than they anticipated. For example, those who have been advised to file for Chapter 7 may have most of the credit card debt wiped off if they can prove that their income is less than the necessary bills that we all incur each month. The court has the mandate to do a means test on individuals to see exactly how they stand when it comes to debt.

On the other hand, if their incoming amounts is more than their outgoings, they can still file for Chapter 13 which allows the court to amalgamate all their debts and work out a once a month payment for the householder. He will no longer have to pay crippling interest payments, nor will he be harassed by the creditors anymore and at least he has the chance to pay back what he owes.

Unfortunately though, there are those among us who have started to take advantage of this kind of service and have gone into debt purposely so that they do not have to repay. To counter this action the court now stipulates that the debtor can only avail himself of this service every eight years or so.

This is not an easy road to travel by the longest stretch of the imagination. Credit scores drop like a brick when this happens and how many of us can function with low credit ratings these days? Indeed, arbitrating with the creditors is possibly a better thing to do since they will know that this option is waiting in the background. Although they may be quite stubborn to begin with, many of them realize that people now have a way out of the debt trap that they are in and most creditors are willing to negotiate a better settlement because of this.

Author Bio: Brad Carver recently spent time researching bankruptcy with the help of Columbus Bankruptcy lawyers. He hired a Columbus Bankruptcy attorney to help his brother.

Category: Finances
Keywords: Columbus Bankruptcy Lawyers,Columbus Bankruptcy Attorney