investments that can drive you bankrupt

Most people can feel the debt load mount, and when you begin to despair of ever catching up on bills you may feel you have nowhere to turn. A chapter 7 bankruptcy can allow those drowning in debt an opportunity to make a fresh start, but many people believe the negative press and put the filing off for far too long. It can be hard to know when the time is right, so read on to learn more about the signs that chapter 7 is in your near future:

Are you having trouble paying even the minimum on credit card bills? The struggle to make these payments each month, only to experience the impossibility of paying the bills off completely, can be devastating. Stomping that credit card debt, and the monthly bills that come with it, into the ground and walking away from it forever are one the best-loved benefits of declaring a chapter 7 bankruptcy. Immediately upon filing, you can start putting your hard-earned money toward other important debts, like your housing needs and food for your family.

Are bills collectors driving you nuts? The automatic stay puts an immediate end to all letters and phone calls from creditors and collection agencies. Since notification of your federal filing could take some time to get to your creditors, there is a possibility of being contacted in the first few weeks after your filing. If you are contacted by phone or mail, just provide the creditor with your bankruptcy case number and the contact information for your bankruptcy attorney. You will likely never hear from them again since they are very familiar with the laws about contact.

Are you worried about losing your home? Threats of foreclosure can be heartbreaking; it's difficult to imagine being kicked out your home because you fell behind on your mortgage. Fortunately, a chapter 7 filing can put a temporary stop on any foreclosure proceedings, giving you an opportunity to make some alternative arrangements. For example, since you no longer need to put any money toward your credit cards and personal loan payments each month, that money can be channeled towards getting your mortgage payments caught up. Mortgage lenders don't really want to foreclose on your home if there is an alternative, so be sure to contact them and try to work out some payment arrangements.

If you are a renter and are being threatened with eviction, you are entitled to a temporary reprieve on that action being taken. As long as the landlord has not actually filed for an eviction in court, you can halt the action and try to get caught up on your rent.

To learn more ways that a chapter 7 bankruptcy could benefit you, speak to a chapter 7 bankruptcy law service.