When your finances reach a critical point and you are considering bankruptcy Portland as a way to get out of your situation, you may want to check into other options available to you. Filing for bankruptcy can have major implications for your financial future. There are other methods in place to effectively avoid bankruptcy. It may be feasible to avoid having a bankruptcy off of your credit report for the required 7 to 10 years. You may also be able to keep your home equity and personal properties if you use another method to resolve your situation other than bankruptcy.
Bankruptcy is a court process that is overseen in federal court. You get the opportunity to resolve your debt by selling off your assets or by following a repayment plan. There are two types of bankruptcy- Chapter 7 and Chapter 13. The version that is filed is dependent on each individual’s situation and ability to pay back their debt. There are many negative impacts related to filing for bankruptcy. Whichever version is filed, the entry can stay on your credit report for 7-10 years. This can make it challenging for you to obtain future lines of credit. Bankruptcy does not get rid of all debts. Some debts, such as child support, student loans and back taxes cannot be discharged through bankruptcy. Another lesser known fact is that filing for bankruptcy can have an indirect impact on your employment situation. A bankruptcy can have an effect on a security clearance and it may limit future job opportunities depending on what sort of job field you are in. Many potential employers require credit checks on applicants and a recent bankruptcy could reduce your chances of getting hired. Of course one of the biggest impacts will be on your ability to obtain future credit. Getting approval for loans and lines of credit may take you between 2 and 5 years after filing.
There are many ways to avoid bankruptcy Portland. Finding the method that will work best for you is the key. Staying on top of your situation before it gets out of hand will give you more options. Resolving your financial issues before it gets to the bankruptcy state will only benefit you more.
