The Process of Emergency Bankruptcy Filings: What You Need to Know

The Process of Emergency Bankruptcy Filings: What You Need to Know

Going through serious financial problems can lead to panic. Many people feel overwhelmed and financially trapped as a result. Finding out what your options are related to emergency bankruptcy filings may help you figure out what steps you can take. There are important things to know about emergency bankruptcy filings. Talk to a Tullahoma bankruptcy attorney today to start navigating your options.

Why File for Emergency Bankruptcy?

You might be wondering what leads people to file for emergency bankruptcy. Some of the most common reasons for emergency bankruptcy are related to severe financial circumstances. These include home foreclosure, being evicted from an apartment, car repossession, and wage garnishment.

Others may file for emergency bankruptcy when facing a serious lawsuit. This is especially true for all the legal fees that can add up when going to trial. If a settlement from the lawsuit or legal negotiations leads to major financial setbacks, then this could lead someone to file for bankruptcy to offset the costs.

People may also file for bankruptcy when debt and interest rates have become overwhelming, or they have lost their jobs and cannot keep up with bills. What bankruptcy can do is temporarily or permanently stop these financial problems. However, there are important things to know about what bankruptcy cannot do and what steps are required.

Important Things to Know About Emergency Bankruptcy

An emergency bankruptcy filing happens when someone files for bankruptcy as quickly as possible. This means providing a brief petition for bankruptcy, filling out the minimal forms necessary, and providing the minimal information required. The minimal information required is most often your Social Security Number and basic contact information for your creditors.

However, do not fall into the mistake of skipping credit counseling and obtaining an approved budget. Without this, you may not be able to file for bankruptcy and this could delay the process. Do not panic because credit counseling can be done online, often for less than an hour.

There are important things to know about emergency bankruptcy. For one, filing for bankruptcy too soon can backfire because it becomes significantly harder to file for bankruptcy again. Many people think bankruptcy can solve all their financial problems, but bankruptcy can only erase or lower certain debts. Secured debts can still be owed afterward.

Many people might be tempted to file for bankruptcy without a lawyer. However, a bankruptcy lawyer might be able to help you speed up the process even more. A bankruptcy lawyer can help with which bankruptcy chapter is best for you, what debts can be erased, how to manage secured debts, and other bankruptcy options. Not only that, but a lawyer can take over many steps that can speed up the process.

Contact Tom Bible Law Today

Do not panic if you find yourself running out of time with bankruptcy. Call us at Tom Bible Law by dialing (423) 424-3116 for a consultation today about your legal options related to bankruptcy. Our legal team of Tennessee bankruptcy lawyers is ready to help you take fast steps to explore what you can do when filing for bankruptcy. We can be found throughout the Tennessee cities of Chattanooga, Kingsport, and Tullahoma.

Related Posts
  • Protecting Your Assets: Estate Planning for High Net-Worth Individuals Read More
  • Achieving Financial Freedom: Real Stories from the FIRE Community Read More
  • Proactive Measures to Protect Your Assets Before Bankruptcy Read More