One common misunderstanding many people have about bankruptcy is that it is only for the poor or the broke. In fact, even the extremely wealthy (such as Donald Trump) can benefit from a personal bankruptcy.
The benefit of bankruptcy is not directly related to your debt or income, but more with the ratio between them. For example, an individual who makes $20,000 each year and only has $4,000 in debt probably does not need bankruptcy as much as somebody who earns $100,000 per year with $300,000 in debt.
Interestingly, the individuals who are truly “broke,” living below the poverty line, or receiving public assistance generally do not benefit from filing a case as much as others. Why? Because their wages are often exempt from being garnished in Wisconsin. Of course, this doesn’t mean that “poor” people shouldn’t file for bankruptcy – it happens every day! Everyone who files for bankruptcy protection benefits from the automatic stay which prevents creditor harassment and allows you a comprehensive means for dealing with all of your debt at once.
If you are on the wealthier side, you may be less likely to qualify for a Chapter 7 filing. Again, it depends upon the ratio between your debt and your income. If you are not eligible for a Chapter 7, however, you most likely qualify for debt relief under Chapter 13.
Bankruptcy can benefit anyone who cannot afford to timely pay all of their bills. It can provide you the relief you need from whatever financial circumstances you are facing. Let us review your individual finances and help you understand how a personal bankruptcy filing could benefit you.
At DeLadurantey Law Office, LLC, we help businesses and families find their way out of highly difficult financial situations. We provide the advice and guidance you need in obtaining debt relief through bankruptcy and debt negotiations. We can also assist you in student loan law and defending a foreclosure action. Contact us at 414-377-0518 to discuss how our Milwaukee bankruptcy attorneys can assist you. Like us on Facebook.