What Are the Pros and Cons for Filing For Bankruptcy in New York?

Like any decision you make, weighing the pros and cons is a great tool to help you decide. If you are unsure about whether or not to file for bankruptcy, read on and reach out to our skilled Newburgh bankruptcy lawyer today. We are on your side.

What are bankruptcy’s pros and cons?

Pros:

Contrary to popular belief, there are several upsides to filing for bankruptcy in New York, and it is not as intimidating as it appears to be. In fact, one of the most significant benefits of filing for bankruptcy is the automatic stay policy. This policy is in place so that in the event that you file for bankruptcy, an automatic stay is instantly set on all your creditors, which permits you to keep your home while stopping creditors from pursuing all collection measures. It is also essential to note that there are many other benefits in addition to this one. Some other pros to filing for bankruptcy include:

  • You may disregard your responsibility to repay any of your dischargeable debts
  • Multiple debtors will start improving their credit rating after you file
  • You may go through the bankruptcy process without relinquishing any of your property
    • Sometimes, you may be able to keep your car, your home, any pensions, IRA’s and retirement accounts, up to $10,000 in value of household goods, life insurance policies, and more.

If you have questions or concerns about the pros of filing for bankruptcy, look no further. Our skilled legal team is prepared to help you with whatever hesitations you may be having. We are dedicated to ensuring you and your financial future are protected.

Cons:

Keep in mind that while there are many advantages to filing for bankruptcy, there are also cons to filing for bankruptcy. It is important to weigh all of these factors in order to ensure that you are making educated financial decisions. Some of the most important cons of filing for bankruptcy include the following:

  • It may be difficult to get a new credit card or line of credit
  • Raised insurance premiums
  • Bankruptcy will be noted on your credit report for 7-10 years
  • It may negatively affect your ability to acquire a job in the future
  • Some landlords are suspicious of those who file for bankruptcy

It is important to view all of your options and understand the pros and cons of filing for bankruptcy before making your decision. The best way to do this is to give our firm a call today to discuss your options with a skilled attorney. We are prepared to help you with whatever you are facing.

CONTACT A BANKRUPTCY LAWYER TO DISCUSS YOUR DEBT OR COLLECTION ISSUE

Michael D. Pinsky, P.C. represents clients in bankruptcy actions and related matters. Please call 845-394-2616 or contact the firm online to schedule a consultation.

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