There is a good argument that bankruptcy should be the alternative of last resort for repaying debts are rightfully considered the responsible and perhaps Christian thing to do.  It is perhaps the primary reason that most people will try other means to resolve debt problems before considering bankruptcy.  Second, many people by nature are procrastinators and will avoid doing anything unpleasant.  Filing bankruptcy is typically not considered a pleasant thing to do even though it may provide much needed relief.  Third, people may be embarrassed about their financial situation and are worried about what their friends and family might think if they find out about it.  Fourth, people have fear of what property they may lose if they file bankruptcy and if they will ever be able to purchase a car or home in the future because of damaged credit.  With the exception of repaying debts being the generally responsible and right thing to do, the other reasons have little merit and are generally poor reasons to avoid filing bankruptcy.  Procrastination will only make debt problems worse unless there is a well thought out plan and a feasible means to repay debt over a five year period or less.  Friends and family should not have knowledge of the bankruptcy unless they are diligent in reading the section of the newspaper containing bankruptcy filings that is published once a week.  Very rarely does anyone lose property by filing bankruptcy.  Filing bankruptcy may not increase a person's credit score, but it can certainly increase a person's ability to obtain future credit.  This is because a debtor is typically in a much better financial situation after having filed bankruptcy (perhaps becoming debt free) and a creditor need not worry about the debtor turning around and filing a Chapter 7 bankruptcy case anytime soon.  A debtor who obtains a bankruptcy discharge can typically obtain debt to purchase a vehicle upon receiving the discharge and purchase a home within a few years of filing bankruptcy.

Contact Lickert Law Firm at 501-771-1817 for a Free Consultation with our North Little Rock Bankruptcy Attorneys.