We all want to pay back our debts. NO one is racking up a tab they do not ever intend to pay because they are planning to file for bankruptcy to “take care” of the debt. We want to be able to pay off our loans and bills but sometimes we find ourselves in a position where we just can’t. And that’s okay. That is what bankruptcy is for –a resource, a lifeline, for those who are struggling.
Bankruptcy is not an easy decision but it becomes a little easier when your creditors are large corporate entities that hound you night and day with threatening calls, e-mails, and letters.
So, in turn, it makes deciding to file for bankruptcy that much more difficult when your creditors are friends and family. Many of our clients fear filing because they worry about hurting the friends and family close to them who they have lent money or transferred property to or from or those who have co-signed for them.
It is important to discuss what happens in these types of situations with your Kain & Scott attorney. It is also important that if you are planning on filing for bankruptcy, you should not make any payments back to friends or relatives before filing. Many feel the urge to do this, hoping that it will keep their loved one from having to be involved in the bankruptcy process. This is not the case. If these types of preferential payments are made before filing, the bankruptcy estate may sue your loved one for those funds.
We all want to protect our loved ones from the stress of a bankruptcy –whether they are a creditor or co-signer. The best way to do that is to consult with an experienced bankruptcy attorney at Kain & Scott to discuss all of your options.
Conclusion
Request a FREE, NO-OBLIGATION consultation with MN’s NICEST bankruptcy attorneys at www.kainscott.com today!
