What happens if i file for bankruptcy?
Answer:
Honestly I'm not sure 16k is really enough to be filing over. Instead I'd keep looking for work and contact your creditors and let them know you were laid off and you are actively looking for work. I'd also file with the unemployment office to help stem the flow.
I mean do you want your credit to go to ** for the next 10 years over 16 grand?
While you are looking for a job in your field go work at a walmart or bestbuy to stem the flow. Don't be lazy. Do what you have to do to survive and be responsible.
Your credit is ruined, it remains on your credit report at least 10 years. The law has changed considerably in the last few years. It's also expensive to file for bankruptcy.
Bankruptcy is a legal procedure designed both to protect an individual or business that can't meet its financial obligations and to protect the creditors involved. To begin the process, proper papers must be filed.
There are specific chapters of the federal bankruptcy law. Proceedings under Chapter Seven (known as straight bankruptcy) involve taking most of the borrower's property. The court appoints a trustee to sell off the assets and distribute the cash among the creditors. Proceedings under Chapter Thirteen (known as wage earner's bankruptcy) involve the borrower proposing a plan for repaying a portion of the debt in installments from the borrower's income. Chapter Eleven of the federal
Bankruptcy Act is generally used by corporations and not by consumer debtors. Its proceedings are expensive and complex. Consumer debtors normally use Chapter Seven or Chapter Thirteen.
Hey, it's easy to think about bankruptcy to get a fresh start from your debt but that's not going to help you get a job. When you have your fresh start, you will have a horrible credit rating for the next 10 years. This will affect any future credit as well as your chances for employment with companies that use your credit ratings to hire you. Your car/home insurance rates will soar higher. You will pay higher interest rates on many loans that you will need in the future and the totals of that will be far more than the $16,000 you want to claim bankruptcy for. I would suggest you immediately go to unemployment to get some income coming in, contact your creditors about the situation so they know about it, and reduce your expenses immediately by getting rid of cable, cell phone, internet service, etc. What you need to cover is housing, food, and neccessities. You will get over this obstacle. I speak from experience going from $30,000 a year to zero. I did it. I found a great job on my last week of unemployment and turned my life around without filing bankruptcy. Consider a consumer credit counseling service but first do all you can to get another job. any job for any income. Work two jobs if you must. Bankruptcy is the easy way out but is the longest lasting fresh start you'll ever have to make. If all else fails, consider it but only as a last resort.
http://www.bankruptcy.jims-info.com/.
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