Most of our clients come to us, struggling with massive debts that have spun out of control. We’ve shared lots of tips in the past for avoiding debt, but it’s also important to get advice from a financial advisor or bankruptcy attorney before you decide to file.
According to John Rao, a bankruptcy attorney with a Boston-based consumer advocacy group, you should “first explore opportunities to resolve problems outside of bankruptcy. Bankruptcy isn’t going to help everyone.”
Typically, you’ll want to consider bankruptcy if:
- Most of your debt is “unsecured” (such as credit card bills or medical bills)
- You’re hounded by calls from collection agencies at home and at work
- You’ve had wages garnished or your bank account frozen after a judgement
- You’ve been sued