Bankruptcy credit repair is a way to get a fresh financial start. The common misconception is that filing bankruptcy is nothing but a negative on your credit. It's not. Filing bankruptcy, whether in Sacramento or elsewhere, is a way to eliminate debt. That is good for your credit, as most would imagine. The issue, then, is whether it is better to file for bankruptcy and have no debt, or live with the debt without a bankruptcy on your record. The answer is unique for everyone. But if you can not afford the debt you have, bankruptcy is often the best solution.

Bankruptcy credit repair is designed to restore your debt-to-income ratio, the biggest factor in your credit score. So even if you have a negative on your credit by filing bankruptcy, your debt can be eliminated. People who are considering filing bankruptcy are often in a position where they can't afford the debt they have. Normally their income is static, so there is nothing they can do to pay their debt down. Just the opposite. For most, the debt tends to grow. By the time they are robbing Peter with one loan or credit card account to pay Paul, bankruptcy is usually the best option. Why? Because with growing debt and credit accounts comes compromised credit. Too much debt, too many credit cards and an inability to pay them leads to shot credit.

Bankruptcy does no harm to someone with bad credit already. It's like putting a dent in a totaled car. It makes no difference. But by discharging, or eliminating, your debt, bankruptcy can boost your credit. It is why bankruptcy credit repair works. As this news story reflects, filing bankruptcy is more common than you think. Understandably, people don't normally discuss their having filed bankruptcy.

If you cannot afford the debts you have and your debt is growing, consider filing for bankruptcy. Not only can bankruptcy credit repair improve your finances, it can ease your mind from living with debt. Contact me for a free consultation.

Debt is on the rise. This recent Bloomberg article reflects the mounting consumer debt in America. Sacramento consumer debt is no different. The Bloomberg article portrays trends in consumer debt. It analyzes debts aside from mortgages, and the trend is clear. Consumer debt is up. It is up in Sacramento the same as it is in the rest of the country.

The alarming part of the story is that income is not keeping up with the mounting consumer debt. This debt is primarily credit card debt, personal loans and payday advances. They are high interest loans. If this trend continues, something has to give. Consumers, likely, will be left holding the bag. But how?

Mounting consumer debt does not pose a problem if income is up. But it is not. At least not to the degree debt is up. When income cannot keep pace with debt, defaults result.

For those living with increased debt, bankruptcy can help. Bankruptcy is a legal process to eliminate debt. Credit card debt and personal loans are often the cause of filing bankruptcy. Payday loans only makes matters worse, and there are a lot of those loans out there. The common denominator to these consumer debts is interest. Interest rates on all these loans are high. If you can't afford the cost of these loans bankruptcy is an option.

Filing bankruptcy is detrimental to your credit, but your debt can be worse. With mounting consumer debt in Sacramento and elsewhere, bankruptcy affords financial relief. For most bankruptcy filers, bankruptcy actually improves their credit. Why? Because debt you cannot afford is worse on your credit than a bankruptcy filing, and it can only get worse over time. Bankruptcy discharges, or eliminates, debt your can't pay.

If you can personally vouch for mounting consumer debt,contact my office of a free bankruptcy consultation to evaluate your options. 

Did you make a resolution to begin this year? Do you have debt? Perhaps you should make a debt resolution. If you owe more debt than you can afford to repay, make 2018 a year you do something about it!

There is a lot of new consumer debt, as this NBC news story reflects. More so now, if not soon, than before the Gre

at Recession. Consumer debt, particularly credit card debt, can be crippling. A debt resolution to do something about this is a good idea. But what?

Paying your debt is a great debt resolution, a simple one indeed. But few can afford to do that. That's why people are in debt. They can't afford to get out. Owing more than you can afford to repay is a common consumer issue. Even if you cannot repay your debt, there are other options.

Debt Resolution

Consumers often look to debt consolidation as a debt resolution. But it is rarely that. Typically there are hidden fees and costs associated with debt consolidation. And commonly debt consolidators are associated with or owned by credits card companies. Sometimes "consolidating" your debt winds up channelling more money to some creditors at the expense of others. All of which has your credit.

Bankruptcy is generally a better debt resolution option. Bankruptcy is a negative on your credit. But so is your debt. If you debt is deep enough, bankruptcy may actually benefit your credit. Weighing whether it is better to have debt without bankruptcy, versus filing for bankruptcy and eliminating your debt is the question.

If you have debt, especially if it is more than you can afford, I invite you to contact me for a free consultation to evaluate your debt resolution options. Maybe bankruptcy is the best bet to get rid of your debt. Maybe it's not. But until you contact me, you won't know what's right for you! 

Bankruptcy protection is often the point of filing for bankruptcy. Filing bankruptcy allows to an automatic stay. That is a legal buzz word that means you are protected from your creditors when you file for bankruptcy. But protected from what? Well, everything. The bankruptcy automatic stay shields you from your creditors. This includes any efforts creditors could take if you didn't file for bankruptcy. Lawsuits, even if already filed, are stopped. Wage garnishments must be ceased. Also included are levies, liens, foreclosures and even phone calls. All these actions must be stopped by creditors when you file for bankruptcy.

It also does not matter when you file for bankruptcy. Bankruptcy protection kicks in automatically when you file bankruptcy. Hence, the automatic stay. Some believe it is too late to file bankruptcy if you have been sued, have a judgment or your wages are garnished. That is not so. As soon as you file bankruptcy, your creditors are stopped cold. No exceptions. It is a common reason many file for bankruptcy in the first place. This is particularly so with wage garnishments, levies and foreclosure. If facing one of these creditor collection tactics, bankruptcy can stop it. Filing bankruptcy is all that needs to be done. It's that simple. This is one of the reason retailers have been filing bankruptcy recently, as this USA Today story suggests.

Seeking bankruptcy protection may prompt a bankruptcy filing, but a discharge is a bankruptcy's lasting effect. Completing a bankruptcy successfully results in a discharge. This means that your debts are eliminated. So the two main benefits of filing bankruptcy are the protection it provides and the debt that is discharged.

I invite you to contact my office to consider your bankruptcy options, especially if you are in need of immediate bankruptcy protection. I have been a Sacramento bankruptcy lawyer for over 20 years. I'm sure I can evaluate what options would work best for the financial fix you need. I look forward to hearing from you soon if you are in need of a fresh financial start.