Roland Kedikian
This may sound strange, a bankruptcy attorney telling not to file bankruptcy. But bankruptcy is not always the best option for all individuals. In certain circumstances, some individuals should not be filing bankruptcy because they will get a better deal either negotiating directly with the creditors. Sometimes a debtor may have too much assets that can not be protected. And sometimes even if they can file bankruptcy, it may be that its not the best time for them to file bankruptcy. You should consult a bankruptcy attorney with regards to the specifics of your case. However, In general, you should not file bankruptcy if all of the following is true:
- Your a high income individual more than the median income or the means test would allow in which case you do not qualify for chapter 7
- You have too much equity in the different assets that you have that bankruptcy will not necessarily protect all of your assets
- You have a low level of debt that you can resolve yourself directly with the creditor within one year.
I meet with many individuals in my practice. I welcome all clients and I do not screen who I will meet with based on whether this individual has the potential to be a client or not. Part of my practice is passing on credible information to individuals who are seeking bankruptcy advice.
An often situations that comes up is when an individual is facing financial stress, they are in fight or flight mode. They have to make a decision whether to file bankruptcy or just deal with the creditors. As is often, they consider whether bankruptcy is an option that will help them. They have heard that bankruptcy wipes out debt and gives the debtor a fresh start. They view this as quick way to move on from a particular debt without taking into consideration the totality of the restrictions that bankruptcy places on a debtor.
The above three rules of thumb together gives you an idea if bankruptcy is right for you. But I encourage you to contact and talk with me or better yet schedule an appointment so that we may discuss the facts of your case and provide a solution that is tailored for you. I am a Los Angeles Bankruptcy Attorney I represent individuals and businesses with bankruptcy and debt relief needs. If you live in Los Angeles County contact us, your local bankruptcy attorney familiar with local bankruptcy practice.
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