Bankruptcy is often thought of as a way to get control of your debt. The trouble is that some people aren’t able to take advantage of it because it is cost-prohibitive. The cost of filing is too much for some people, so they just try to handle the debts as best as they can. This can become a source of extreme stress for them because they are unable to do much about the extreme debt they are in.
The cost of filing causes some people to wait until they get their tax refund to file. While this might seem like an ideal solution, it really isn’t. Some people truly can’t wait that long because they are being harassed by debt collectors and might be facing some extreme collection attempts.
Some people who need to file bankruptcy but don’t have the money to do so might try to make it through the process pro se; however, this comes with the possibility of making errors that can impair the chance of the petition going through successfully. Conversely, people who have attorneys work on their cases have a much better outcome.
Ultimately, people who are in debt need help. They don’t need to be thrust into a situation that makes them more desperate. Sometimes, it is possible to save money to be able to file, but you shouldn’t ever make the mistake of trying to go through the process without proper representation.
When the majority of your debt is from credit cards, the credit card companies may be willing to work with you to lower your payments in a short-term situation. You may mention that you are considering bankruptcy, which might push them to do it. If this happens, make sure you save the extra money so that you will have it to file your bankruptcy case with.