Tampa Bankruptcy : Top Ten Reasons to File Bankruptcy (Part 1)
If you or your company is experiencing cash flow problems and high debts with no end in sight, the law has a provision to end your plight. It is called the Bankruptcy Code. This legislation provides you the option to be discharged from you debts or have your debts restructured such that they are more manageable.
The Bankruptcy Code has different sections for individuals and companies. For individuals, the applicable sections are Chapter 7 and Chapter 13 whereas for companies, it is usually Chapter 11 of the Bankruptcy Code that applies.
Perhaps you might be struggling to pay your debts and are several months behind on you payments. Maybe the bank is threatening to foreclose on your property or the creditors are intending to sue your company for the debts it owes. These are among the many possible results of NOT filing for bankruptcy.
Watch our video on the top ten reasons why you should file for bankruptcy here:
http://www.axishow.com/watch/54b956a7d1f86f76afa2/Tampa Bankruptcy: Top 10 Reasons To File Bankruptcy
Here are the top 10 reasons to file for bankruptcy if you need it:
1. Bankruptcy would eliminate your legal obligation to pay your bills
If you are over your head and swimming in unpaid bills, bankruptcy is your opportunity to cancel some of these debts. This would enable you to start afresh and rebuild your life and credit standing.
2. Bankruptcy protects your possessions from repossession
If you persist in not paying your bills then the natural consequence would be repossession of your property that was pledged to the loan you took, such as your car or other equipment.
3. Bankruptcy stops unemployment from ruining your life.
The last thing you need is to lose your job. This can easily be prevented when your debts are discharged following a successful bankruptcy application
4. Bankruptcy prevents your utilities from being shut off
Paying bills for essential services like water and electricity cannot be put off for long. You know what would happen if you do. The solution to this is bankruptcy because it presents the opportunity for these bills to be written off.
5. Bankruptcy stops all forms of wage garnishments.
The law allows the IRS to garnish your wages if you do not pay your income tax. It is officially called a tax levy. This is one of the ways the IRS collects back taxes from you and is often done as a last resort by the IRS because calls and repeated letters have gone without answer. But bankruptcy will prevent this from happening and it a tax levy has begun, bankruptcy can stop it.
I will talk about 5 more reasons to file for bankruptcy in my next article.