(for Riverside/San Bernardino Counties)

Best Time of Year to File BankruptcyYou may be wondering if there is a specific time that is best to file bankruptcy. What most people may not know is that the best time to file bankruptcy actually depends on your specific financial situation. The time of year has no effect on bankruptcy filings because they are not handled any differently according to the status of the economy or the time of the year. Each filing is handled according to the particular financial situation and not all filings are the same. That being said, there are some ways to recognize when might be the best time to file bankruptcy.

1. Consider Your Options
The first thing you should consider is whether filing for bankruptcy is your only option. It is recommended that you pursue other debt management options before you file for bankruptcy. The best way to protect your credit is to repay your debts in full. Contact your creditors and negotiate a payment plan that fits your budget. Most lenders would be willing to work with you to recoup the money loaned.

However, sometimes bankruptcy is the only option for many people. The unexpected happens and sometimes we find ourselves in financial hardship. If you cannot afford to continue to make your payments, let alone get caught up on missed payments, filing for bankruptcy may be your only option. You should look for signs to determine whether your financial solution has left you with limited options.

2. Watch for Signs
Following are a couple of signs you should look for:

Multiple Missed Payments
Multiple missed payments are the first indicator of financial trouble. Once you have missed a couple of payments, your credit score will likely to be affected. At this point, creditors start calling and try to collect the debt. For secured debts, your assets become at risk for liquidation and seizure. When you file for bankruptcy, most of your property and your wages can be protected from the hands of creditors.

Taking More Credit to Pay Other Sources of Debt
Another sign that filing for bankruptcy may be best for you is when you start to take out more credit to pay other sources of debt. You can get loans from loan companies to pay your bills. But the problem is that these loans usually have large interest rates that will keep you in debt for a long time. In short, taking on more debt in order to repay other debts is never a good idea. Filing for bankruptcy allows you to eliminate virtually all of your debts so you can start with a clean slate and focus on working towards financial stability.

Final Word
In conclusion, bankruptcy offers you a chance to regain control over your financial future. It can be a great tool that serves many individuals each year to get out of debt and back on track. The time of the year has no effect on bankruptcy filings but you should still examine your financial situation and consider all your options in order to make an educated decision about when filing for bankruptcy might be the most beneficial for you.

The Travis Law Firm provides professional legal representation for Chapter 7 & Chapter 13 bankruptcy services for residents of all cities in Riverside and San Bernardino Counties. We have offices in Riverside, San Bernardino, Victorville, Temecula, Cathedral City and Ontario for the convenience of our Inland Empire, High Desert, and Coachella Valley clients. For more information about our bankruptcy law services and other legal representation, call us today at (951) 274-9501 or (951) 274-9501.