What You Can Do To Avoid Bankruptcy

What you really want to do is to avoid making the kinds of financial decisions that can eventually put you in bankruptcy. There’s nothing wrong with filing for bankruptcy – for many people it’s the most responsible way to deal with their present circumstances. If you are struggling with debt in the Chicago area, discuss your options at once with an experienced Chicago bankruptcy lawyer. If you prefer to avoid debt difficulty altogether – and who doesn’t? – here are some simple recommendations:

– Pay your debts with the highest interest rates first. The effect is that you pay off higher debt for a lower price.

– Make and follow a budget. For a month, write down every cent you spend, then check the result. Did you blow some money? Most of us do. Delete everything inessential from your spending. Then look at the costs you can reduce. You don’t have to spend $10 a day for lunch, and you don’t really have to drink your coffee at Starbucks. Make a budget you can live on and live with, and no matter what happens, stick to it.

– Don’t buy what you can’t afford. A new car will cost much more than a reliable used car. Don’t buy or rent a three-bedroom residence for two people.

– Grow your income. Lowering your expenditures is good, but bringing in more income is better. If you feel like you can ask for a raise, ask. You should also look for a part-time job. You won’t be alone. Miami Dolphins defensive tackle A. J. Francis re-signed with the team this year for a base salary of $510,000. He’s also driving part-time for Uber.

– Stop using credit cards. Take the scissors to them – right now. Use a debit card or pay cash. The more income you can free up – and begin to save – the less likely you’ll be to end up in bankruptcy court in the future.

Nevertheless, if you find yourself drowning in debt now, you need to act now. Consult an experienced Chicago bankruptcy lawyer regarding your situation, your rights, and your options as quickly as possible.