The advantages and disadvantages
- A automatic stay will be activated, and that prevents creditors from taking action to collect there debt. Which includes but not limited to, sending you letters, calling you, and sending letters.
- By using some bankruptcy exemptions, you can go through bankruptcy without losing any of your belongings.
- Can make debt older than 3 years go away.
- Some of your property may be seized by court and sold to pay your creditors.
- Bankruptcy will be noted on your credit report for 7-10 years.
- Most of the credit card companies will automatically cancel your credit card when you file for bankruptcy.
Obligations that cannot be discharged by claiming bankruptcy
- Student Loans
- Many type of Tax Debts
- Support orders (a.k.a child support)