Article published in the NY Times about using Bankruptcy to emerge from financial crisis into a strong financial footing.
Filing a Bankruptcy case allows a client to erase most if not all of his credit card debt, unload an unwanted car lease, and preserve his pension and retirement accounts in full. All consumers are allowed $50,000 equity in their home (for each spouse), and/or $5,000 in the bank. Emerging from Bankruptcy with your retirement intact, your home equity intact, and $5,000 in the bank allows most clients to move forward in life.
The most common frustration experienced by Bankruptcy attorneys is why clients wait so long to file Bankruptcy. Many times a client only comes to me after years of financial struggle, having emptied his retirement accounts or losing his home or car to repossession.
Thousands of people are currently “unofficially bankrupt” and are reluctant to file Bankruptcy because in the past personal Bankruptcy carried such a stigma (unlike corporate Bankruptcy which has become the most common business tool in America today).
Emerging from Bankruptcy without credit card debt, but with your retirement assured, your home secured and $5,000 in the bank allows most clients to move forward in life on a stronger financial footing.