Should I File Bankruptcy?

The decision to file bankruptcy is a difficult one. It can be hard to know when the right time to file is. One of the reasons people postpone bankruptcy is that they often have many misconceptions about how it works and what their lives will look like after they file.

At Mathis, Bates & Klinghard PLLC, our friendly attorneys are here to answer your questions about bankruptcy and help you determine whether bankruptcy is the right solution for you. We are a client-centered firm, focused on providing practical, personalized solutions to legal problems. Located in Clarksville, we represent clients throughout Tennessee and Kentucky.

Common Questions People Ask When Deciding Whether To File For Bankruptcy

The following are some of the most common questions people have when deciding whether to file bankruptcy.

Who files for bankruptcy?

Whatever your circumstances, you should know that you are not alone. People who file bankruptcy are generally hardworking people who have fallen on financial hard times through no fault of their own. Common life challenges include getting laid off from work, getting cancer or some other serious medical condition, getting a divorce or suffering from some other unexpected financial crisis.

Will I lose everything if I file bankruptcy?

People often assume that filing bankruptcy means they will lose their home and valuables. This is not necessarily true. Bankruptcy allows people to keep certain personal property under a system of exemptions. Kentucky and Tennessee each have their own state exemption laws covering what may be exempt from bankruptcy. In addition, both states allow individuals to use certain federal exemptions to protect special assets such as retirement accounts.

If you are worried about protecting your personal possessions you should talk with a bankruptcy attorney about your options. An attorney can assist you with pre-bankruptcy planning to ensure you maximize your assets and get the most benefit out of bankruptcy.

Will I ever be able to get credit again?

People often think their credit will be ruined forever if they file bankruptcy and they will never be able to get credit again. This is not true. You can start rebuilding your credit immediately after filing bankruptcy. For many people, getting rid of debt gives them the fresh start they need. Reducing your debt load is a critical factor to improving your credit.

Won't I have to struggle for years after filing for bankruptcy?

This is a common worry. In reality, the opposite is true. Bankruptcy is designed to get people out of financial hardship by eliminating debt and providing people with a clean financial slate.

Is bankruptcy always the right answer?

No. Honestly, bankruptcy is not always the right fit for everyone. If bankruptcy is not the right fit for you, we can assist you with other options, including negotiating a debt settlement plan, debt consolidation or loan modification. Restructuring debt or negotiating a reduced fee can work wonders to get you on the right track again.

Why Choose Our Firm?

Clients choose us because of our ability to help them navigate any financial scenario. We can evaluate your options and advise you on which route is best for your unique situation. Lawyer Jacob Mathis has done collections work for years, which often involves assisting debtors to come up with creative solutions to pay down debt.

If you are struggling, there is hope. Call our firm today at 931-444-3153 to schedule a free consultation. You can also reach us by sending us an email online.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.