Being a single father is not easy. Even though you probably have a co-parent, it may feel like you are parenting alone. Unfortunately, it can also put a strain on your finances. You no longer have your co-parent's income to help pay for your living expenses, and a significant percentage of your income may be going towards child support. If your co-parent is no longer in the picture, you may be solely responsible for all of your children's expenses, as well. When you feel like you are drowning in debt, filing for bankruptcy may be your best option for relief. As a caring father, you should also know that bankruptcy will not prevent you from being able to provide for your child.
Why You May Need Bankruptcy
Single parents face financial challenges that can make it difficult to keep up with debt payments:
- Your responsibilities as a parent may limit the hours you can work and cause you to pass up on job opportunities that could increase your income.
- Supporting your children leaves you with less disposable income and you may have used a credit card to pay for necessary expenses.
- There can be unexpected child expenses, such as a medical emergency.
- Even though you are on a tighter budget, you want your children to have the same opportunities and experiences as their friends.
Filing for bankruptcy can give you a fresh start on your unsecured debts. Depending on the type of bankruptcy you use, you could discharge your unsecured debts or create a more manageable debt repayment plan.
Protection for Your Children's Assets
Your ability to exempt, or protect, your assets includes your children's clothes, furniture, and toys. A bank account in your child's name or an education savings account is exempt during bankruptcy. Filing for Chapter 7 bankruptcy does not prevent you from contributing to reasonable tuition to a private school or disqualify your child from receiving financial aid to attend college.
Contact a Collin County Bankruptcy Lawyer
Getting your debt under control will put you in a stronger position to support your children moving forward. A Frisco, Texas, bankruptcy attorney at The Page Law Firm will discuss your bankruptcy options and help you come up with a plan that is best for you and your child. Schedule a free consultation by calling 214-618-2101.