Bankruptcy requires serious assessment. You may be feeling financially strapped and fear that things might get worse in this struggling economy. But, there are things you can do besides filing for bankruptcy, which includes the following:
Negotiate with your creditors. If you have a slew of unpaid bills, many creditors would rather receive something from you than risk not being paid at all. Hospitals, doctors, and other medical service providers often agree to accept less than the amount they have billed. You may be able to enter into an agreement with your creditors to pay down your debt over time.
- Go for credit counseling. Credit counseling can help you get a handle on your finances.
- Cut back on spending. Reduce spending on luxury items. Make coffee at home. Bring lunch to work. Eliminate extra cable channels or eliminate cable completely.
- Make a budget. A budget will show you where every penny goes each month. Once you have a budget, stick to it.
- Do not do anything. If you do not have much money or assets, your creditors will not be able to collect anything from you.
- Refinance your mortgage. Refinancing may provide enough extra cash to get through the lean times.
- Sell your home. It might be time to sell your home and move on.
- Sell off valuables. Selling art, gold jewelry, and collectibles may bring enough cash to help you through.
For questions about finances or bankruptcy contact David R. Black’s Bankruptcy Legal Group for effective solutions.