Frenzybliss
Active member
Surviving bankruptcy
Introduction
If you're considering bankruptcy as an option for your finances, it's important to understand what comes next. The process isn't necessarily easy and will take some time. But even after bankruptcy, your financial life has hope—and it's not over yet!Set up a budget.
A budget is a plan for how you'll spend your money. It helps you know what's coming in, what's going out, and whether there will be enough left over to pay the bills.Setting up a budget can be overwhelming at first but it gets easier with practice. The most important thing is to start tracking where all of your money goes every month--whether it's by writing down purchases on paper or using an app like Mint or You Need A Budget (YNAB).
Once you know where all of the money goes each month, figure out which expenses are necessary and which ones aren't worth spending so much on. Then look for ways to cut back without sacrificing too much quality of life (like getting rid of cable TV). Once this process is complete and everyone has been taken care of financially speaking, there should be enough left over from each paycheck so that no one has any problems paying their bills every month including rent/mortgage payments; utilities such as electricity, gas & water bills; food costs etcetera!
Save cash.
- Save cash.
- Set up a savings account, and don't touch it unless it's an emergency. That way, you won't be tempted to use the money on frivolous things like lattes or new shoes when life gets tough. You'll have something to fall back on in case of financial trouble--and even if everything works out fine, you'll have some extra money for fun stuff later on down the line!
Take care of your credit score.
It's based on your credit history, which includes any loans or lines of credit you have taken out in the past, as well as any other payments you have made on time.Your score ranges from 300 to 850 and is calculated using various factors such as:
- How much money do you owe?
- How long have the accounts been open?
- Have there been any late payments in the past six months?
Talk to others about your decision.
One of the most important things you can do is talk to others about your decision. If you're feeling overwhelmed by debt and don't know where to turn, consider talking with a professional who can help guide you through the process. A financial advisor or bankruptcy attorney will be able to advise you on how best to proceed while keeping your personal interests at heart.You may also want to talk with family members or friends who have gone through similar experiences in the past--they may have advice they'd be willing share!
Find out what the process will be like.
The first step to surviving bankruptcy is finding out what it will be like. You need to know the process, the length of time involved and what you will have to do during this time.You also need to understand what happens after bankruptcy and how it may impact your finances in the future.
Learn what bankruptcy can and can't do.
It's important to understand that bankruptcy doesn't erase your debt--it just makes it harder for creditors to collect. Bankruptcy also doesn't mean you'll be debt-free forever; you'll still owe money on some of the debts that were included in your bankruptcy case until those debts are paid off or discharged (for example, if an auto loan was included in your case).If you're considering filing for personal bankruptcy protection and want more information about how this could impact your finances going forward, talk with an attorney who specializes in consumer law
Even after bankruptcy, your financial life has hope.
Bankruptcy is not the end of your life. You can still buy a house, car, start a business and travel.You will be able to get a credit card again in about 7 years after filing bankruptcy.
