Frederick Maryland Bankruptcy Blog

Will my life improve after bankruptcy?

On behalf of Law Offices of John C. Hanrahan, LLC on Tuesday, March 5, 2019.

If you are struggling with debt, you will know that no matter what luxuries you have in your life, you will be unable to enjoy them to a full extent due to worries about the debt in the back of your mind. Having an expensive car or designer clothes can bring joy, but they will never provide peace of mind when you are worried about your financial future.

Many people are hesitant to go through the process of bankruptcy because they know that they will need to give up many of the luxuries that they have become accustomed to. In many cases, these "luxuries" may be quite modest ones, and they are generally concerned that their quality of life will need to change significantly.

The impact of bankruptcy on your credit rating

On behalf of Law Offices of John C. Hanrahan, LLC on Thursday, January 31, 2019.

Despite the many benefits of filing for bankruptcy, such as the ability to discharge or reorganize debt, there are potential disadvantages to be aware of as you consider your next step. For example, you need to fully understand what will happen to your credit rating if you proceed with a bankruptcy filing.

There is no denying the fact that a bankruptcy is considered a negative event. Not only will it drag down your credit score, but it can also make it very difficult to secure a loan in the future.

Can student loans be discharged in bankruptcy?

On behalf of Law Offices of John C. Hanrahan, LLC on Wednesday, January 2, 2019.

An increasing number of young people in the United States are now going to college. For the majority of college students, loans are taken out in order to pay for tuition and living expenses. At the time, college students take out these loans thinking that they will be able to make repayments effortlessly when they gain high paying jobs after graduation. However, the reality is usually not so simple.

Unfortunately, many graduates in the state of Maryland suffer financial hardships that are made more difficult by student loan repayment obligations. Student loan debt can be crippling, and they are one of the most common forms of debt in the United States. Therefore, those considering bankruptcy often wonder whether the student debt will be discharged during the filing.

Can high earners file for Chapter 7 bankruptcy?

On behalf of Law Offices of John C. Hanrahan, LLC on Tuesday, December 4, 2018.

There are several different types of bankruptcy options for debtors in the United States. If the debtor has a very high income, the process of bankruptcy can be more complex.

This is often because high earners struggling with debts tend to be dealing with a higher amount of debt as well as a more comprehensive catalog of assets. In addition, qualification requirements can also mean that many high-income debtors do not qualify for certain bankruptcy Chapters that might seem the most appealing.

What happens after an automatic stay violation?

On behalf of Law Offices of John C. Hanrahan, LLC on Monday, November 5, 2018.

If you have filed for bankruptcy in the state of Maryland or if you are considering filing for bankruptcy, it is likely that you will be interested in how the automatic stay works. The automatic stay in bankruptcy filings is something that many debtors are drawn to, since they want an end to the stresses of constant creditor communication.

If you are struggling with debts and you want to end debt collection attempts from creditors, filing for bankruptcy may be something to consider. However, you should not file for bankruptcy only for this reason. A bankruptcy filing is a big commitment that takes a great deal of determination before a fresh financial start can be enjoyed.

Taking action if you're being sued because of debt

On behalf of Law Offices of John C. Hanrahan, LLC on Thursday, October 4, 2018.

Debt struggles can be a vicious cycle: The more debt that a person has, the more they will be charged interest on it, which, in turn, makes it more difficult to be able to pay off the debts. Many debtors become extremely overwhelmed and stressed by their situation and they may worry that they will be sued for their debt.

It is a distinct possibility that you may face being sued for your debt, even if you have tried to negotiate with your creditor. However, there are ways that you can successfully defend yourself from a debt claim made against you so that you do not have to continue struggling financially.

Long-term illnesses are one of the leading causes of bankruptcy

On behalf of Law Offices of John C. Hanrahan, LLC on Thursday, September 6, 2018.

Illnesses can strike us when we least expect them. Not only can they cause a lot of pain, stress and suffering, they can also be a heavy financial burden on a household. When a parent, child or any individual gets ill, it is likely that they will need to be cared for by another individual.

For example, when a child becomes ill for a lengthy period of time, a parent may have to take unpaid leave in order to care for him or her. In addition to this loss of income, medical bills can become extortionate if medical insurance is not adequate.

Filing for bankruptcy and keeping the family home

On behalf of Law Offices of John C. Hanrahan, LLC on Monday, August 6, 2018.

The decision to file for bankruptcy is never an easy one to make. However, it is not usually a decision that people have much time to consider. It's often a decision that is taken at a time when there are a limited number of other options.

When a little time and research is invested into learning about how bankruptcy works, many debtors can benefit from making lucrative choices that enable them to prioritize what is important to them, which, for many people, is the ability to keep the family home.

Can debts be discharged through bankruptcy?

On behalf of Law Offices of John C. Hanrahan, LLC on Tuesday, July 10, 2018.

When you are struggling with ever-increasing debts, it may be difficult to work out what your options are to help you to get out of your situation. It is likely that constant communication with debt collectors will leave you feeling stressed, but you may worry that filing for bankruptcy is an admission of failure.

Filing for bankruptcy does not mean that you have failed. It can be a lucrative way to help you to get back on track with regard to your finances. One of the many ways in which filing for bankruptcy can prove to be a wise decision relates to the fact that some of your debts may be eligible for discharge. This means that you may be given the opportunity to be relieved of the burden of some of your debts.

It’s possible to thrive after a bankruptcy

On behalf of Law Offices of John C. Hanrahan, LLC on Monday, June 11, 2018.

For many people, bankruptcy is seen as a last resort, as an admission of failure and therefore a surrender. However, bankruptcy has had a negative stigma attached to it for many years, and while needing to file for bankruptcy is never an ideal situation, it can be an empowering decision. This is because it means that the debtor is taking control of the future for the sake of oneself and one's family, and starting to steer the ship towards a better and more prosperous life.

It is also common for those considering filing for bankruptcy to dwell on all of the sacrifices that they will have to make, without thinking of any of the positives. In reality, the fear of suffering is usually worse than suffering itself, and making small lifestyle changes over time can make it possible for you and your family to be free of debt and thrive post-bankruptcy.