How does Bankruptcy Work in NYC?
Millions of Americans file for bankruptcy every year. It is a very common practice and it is likely you know someone who has filed- they just may not have told you. The truth is that today in New York City and the nation abroad many families are hurting financially and feeling the effects of the changing economy. Even major municipalities are turning to bankruptcy- everyone needs help. The good news is that our country recognizes the need to protect its citizens from financial hardship, and has favorable bankruptcy laws to help.
The general idea of bankruptcy has been around since the beginning of human civilization. Some societies of the past had harsh penalties for those individuals who could not repay their debts, but in the United States we had other ideas about debts and personal freedom that grew into our modern bankruptcy laws. These laws protect consumers from predatory lenders and a life of servitude, by giving Americans a chance at a fresh start when overwhelmed by their debt.
In order to maximize profits modern lenders complicate the very simple process of loaning money. Their practices allow them to do nothing but collect $10 on every $5 they loan out. They intentionally make it difficult for ordinary consumers to repay debts. By using high interest rates, unreasonable late fees, finance charges and any other manner of trickery they squeeze out even more money on their unfair loan. Sadly, the modern credit and lending process is designed to overwhelm borrowers with debt.
Fortunately, in the United States the bankruptcy laws we have created gives our citizens a legal recourse against overwhelming debt and a way to regain their financial freedom. Our founders knew it was wrong for a citizen to have to work all day everyday for the rest of their lives in an effort to repay an impossible debt. This would not be fair policy, and they realized citizens would never be free if they were forced to work till they died. Our government of the people created bankruptcy laws to shield us from the predatory lenders and overwhelming debt.
Bottom line is that bankruptcy is designed to give people with debt problems a fresh start. There is no truth to the rumor that you are guaranteed to have bad credit for 7 years after filing. A bankruptcy will appear on a credit report for 10 years, but good credit can be regained very quickly. We have seen clients purchase new cars and even receive mortgages in less than 2 years after filing bankruptcy.
Our clients are often surprised at how fast their credit improves and how quickly they start receiving credit card offers again in the mail, often times from the same credit card companies listed in their bankruptcy.
Bankruptcy protection is the best way to alleviate an insurmountable debt, and our bankruptcy laws were specifically designed to protect consumers from the predatory lenders whose practices can leave anyone in financial trouble. A qualified bankruptcy attorney is absolutely necessary for this legal process.
If you live in New York and are considering bankruptcy relief please contact the Law Office of William Waldner for a free bankruptcy consultation today. We only practice Bankruptcy Law and are always here to help.
Call 212-244-2882 to arrange a free bankruptcy consultation today. Mention this blog post when scheduling by referencing the promotional code: FRE212 to receive the required 3 bureau credit report, and required credit counseling course, both free when you mention this blog.