The Most Common Reasons to File for Bankruptcy California Bankruptcy

If you are wondering whether bankruptcy may be right for you, we advise you discuss the matter with a certified bankruptcy specialist. Kostopoulos Bankruptcy Law is one of only a few San Francisco law firms that have a bankruptcy specialist on their legal team who has been certified by the American Board of Certification. Having represented clients in more than 6,000 bankruptcy cases, we have the expertise necessary to answer your bankruptcy-related questions and help you navigate through the bankruptcy process.

Done right, bankruptcy can be used as an effective foreclosure defense, a repossession defense, a way to put a stop to creditor harassment and a way to help you get out from under a massive amount of debt. If bankruptcy is not right for you, our firm can also help you avail yourself of another debt relief option that may still be able to give you the peace of mind you deserve. The lawyers at our firm are strong advocates for debtors’ rights and we are here to provide you with a custom strategy designed to help you get back on the road to a full financial recovery.

There are many reasons an individual may want to consider filing for bankruptcy. Some of the most common reasons you may want to consider filing for bankruptcy are:

• You have recently gone through a divorce and you need help getting your finances under control, particularly now that you only have one source of income.
• You have sustained serious injury or required extensive medical care that has left you with a large amount of medical bills, far beyond your ability to pay.
• You or your spouse has lost a job and thus a significant source of income. In situations such as this, we often see people using credit cards or attempting to take out 2nd mortgages and home loans in an effort to pay of basic household expenses.
• You have overextended your credit or maxed out your credit cards and have only been able to make the minimum payment amounts. High interest rates on credit cards could mean that you are not actually paying down your debt but simply paying interest.
• You started a business, but due to the economy or other unforeseen circumstances, you were unable to keep the business alive. While business debt cannot be discharged through a personal bankruptcy, most business debts have a personal guarantee. If you provided your home or other assets as a guarantee that the business loan would be repaid, you can be held liable for that debt.
• Your home is at risk of foreclosure. The housing market fluctuates and when the market goes down it can dramatically reduce the value of your home. You may be unable to keep up with the payments, particularly if you are underwater on your mortgage. In cases such as this, bankruptcy can be used as a foreclosure defense.

Financial problems can happen to anyone. An individual’s race, sex, social stature, career or education have nothing to do with whether he or she may eventually need bankruptcy protection. If you want to alleviate the financial stress you feel and regain control of your finances, you have come to the right place. Our firm can help you pursue true debt relief. Contact a San Francisco bankruptcy lawyer at our firm now to find out more about how bankruptcy can help you become debt free.