Obtaining financial freedom is part of the American dream for many people. Financial freedom means having the money and savings necessary to live the lifestyle you want and to secure your financial future into retirement. America was founded on ideals such as every person's right to “life, liberty, and the pursuit of happiness.” Unfortunately, many Americans have not yet obtained financial freedom in part because of the debts that they owe. Bankruptcy is one way that millions of Americans have declared independence from their creditors. In honor of the Fourth of July, here are four ways that bankruptcy can help you achieve financial freedom:
- Bankruptcy Halts Debt Collection: It is hard to feel free when you are constantly worried about creditors contacting you demanding repayment or to threaten to take collateral property. The first thing that filing for bankruptcy does is put an automatic stay on debt collection efforts, which means stopping creditors from contacting you.
- Most of Your Unsecured Debts Can Be Paid Off or Discharged Through Bankruptcy: The bankruptcy process will discharge your unsecured debts if you are filing under Chapter 7. If you are filing under Chapter 13 you will have a repayment plan that may be a lot more manageable than what you are currently paying. That will provide debt relief.
- You Can Protect Your Home During Bankruptcy: Your home is a major part of your financial freedom, and falling behind on mortgage payments may mean that your home is at risk of foreclosure. Filing for bankruptcy gives you clear ways to protect your home. If you are behind on your mortgage payments, filing a Chapter 13 bankruptcy allows you to catch up on late mortgage payments with the repayment plan.
- Bankruptcy Gives You a Fresh Start: Achieving financial freedom requires a plan that includes budgeting your finances and saving money when you can. Being swamped with debt makes it difficult to plan for anything other than trying to keep up with payments each month. By filing for bankruptcy, your debts can be cleared or made more manageable. With your new financial stability, you can implement long-term savings plans that will help you reach financial freedom.
Contact a Denton County Bankruptcy Attorney
The road to financial freedom may seem long if you are saddled with debts. Your first step is to talk to a Frisco, Texas, bankruptcy lawyer at The Page Law Firm, who can tell you more about the bankruptcy process. To schedule a free consultation, call 214-618-2101.