Is Bankruptcy Worth It?

Will Bankruptcy discharge enough of your debt to make
it worth your while?

Certain categories of debts cannot be discharged in California chapter 7 bankruptcy. These are called nondischargeable debts, and it doesn't make much sense to file for chapter 7 bankruptcy if your primary goal is to get rid of them. A chapter 13 bankruptcy will be more beneficial.

Will filing bankruptcy ruin your credit?

After filing bankruptcy you have no outstanding debt and cannot file for another eight years. In fact you look like a much better candidate for credit card companies after filing bankruptcy.

Buying a home after bankruptcy. Recent studies say that over 90% of individuals after filing bankruptcy receive solicitation from a lender actually indicating that they new they had filed bankruptcy. So remember, credit is your ability to borrow money, and that may actually improve after filing bankruptcy.

Buying a home after bankruptcy.

In determining weather or not to lend to a person after filing bankruptcy it’s important to understand what banks consider when determining whether or not to loan you money. Probably the most important factor that they consider is your debt to income ratio, in other words, out much outstanding debt you have relative to your income coming in. Now generally a lender wants you to make a mortgage payment no greater than 30% of your gross monthly income. So let’s put this in perspective, right now, calculate how much income compared to your monthy debt payments.
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Quick Quote Form

• I want information on a chapter 7 or 13 bankruptcy
• I want information on a California chapter 7 bankruptcy
• I want information on the most common alternatives to filing for bankruptcy
• I want to know which items of property I own are subject to the bankruptcy court's control when I file for Chapter 7 bankruptcy
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