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Chapter 7 bankruptcy, exploring the consequences

For most people, the thought of filing a Chapter 7 bankruptcy is frightening. The process is shrouded in a great amount of negativity, and although some of the negativity is true, some of it is false. We have found that once people weigh the negative consequences against the positives, most of them feel better about the prospect of a Chapter 7 filing.

If you are like most Long Island residents with overwhelming debt, you have probably heard about the cons of a Chapter 7 bankruptcy. These potentially negative consequences usually include:

  • The possible loss of some of your personal property
  • Your bankruptcy will be a matter of public record for other people to see
  • You may take a hit to your credit score
  • You may experience feelings of shame about your financial situation

With some of the negatives out of the way, we want you to focus on the often-surprising positive consequences of Chapter 7 bankruptcy. One of the most beneficial outcomes of bankruptcy is the chance to make a fresh financial start. For many, this prospect alone is worth any hardships they may face on the road to becoming debt-free. The following section lists a few additional positive consequences of a Chapter 7 filing.

  • Much of your debt will be permanently discharged through bankruptcy
  • The opportunity to rebuild your credit and be smart about your finances going forward
  • Creditors can no longer harass you for payments

Our attorneys also want to make sure you understand how sound legal assistance can help with your filing. New York bankruptcy lawyers know the laws and this enables them to evaluate your case on an individual basis. This approach ensures that you receive the maximum financial benefits in your effort to free yourself from overwhelming debt. Please visit our firm online if you need to learn more about Chapter 7 bankruptcy filings.

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