Cons of Filing for Bankruptcy

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Even after many benefits of declaring bankruptcy, it should always be considered a last option. Those considering bankruptcy should keep in mind the following disadvantages of filing for bankruptcy.

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<ul><li><p>While there are many benefits to declaring bankruptcy, bankruptcy should always be considered a last resort. Those considering bankruptcy should keep in mind the </p><p>disadvantages of filing for bankruptcy. </p><p>PROS AND CONS OF FILING FOR BANKRUPTCY </p><p>Part 2: Cons of Filing for Bankruptcy </p></li><li><p>Part 2 The Cons of Filing for Bankruptcy </p></li><li><p>After you file for bankruptcy, you will lose all credit cards if they are not paid off </p><p>before you file. In many cases, you can apply for new credit cards within 24 </p><p>months, but you will probably have to pay high interest rates and annual fees. </p><p>You Lose All Credit Cards </p></li><li><p>The damage a bankruptcy has on your credit depends on how bad your credit was </p><p>before you filed. Those with good credit will see a bigger drop than those whose </p><p>credit is already poor. Bankruptcy will stay on your credit report for 10 years. </p><p>Your Credit is Damaged </p></li><li><p>Certain debts, like student loans, back child support payments, some tax debts, </p><p>and government fines and penalties may not be eligible to be eliminated in a </p><p>bankruptcy. Debts incurred through fraud or debts from court judgements in </p><p>wrongful death or injury lawsuits are also not dischargeable. </p><p>Not All Debts Can Be Discharged </p></li><li><p>Depending on the type of mortgage you are looking for and the type of </p><p>bankruptcy you filed for, you may have to wait to one to four years after the </p><p>bankruptcy is discharged to obtain a mortgage loan. </p><p>No New Home Mortgage </p></li><li><p>Court documents relating to bankruptcy are public record and can be viewed by </p><p>anyone in the federal governments electronic records. It is also possible that your </p><p>name could appear in a local newspaper if the paper reports on public notices. </p><p>Bankruptcy is Public Record </p></li><li><p>"Pros and Cons of filing For Bankruptcy." The Law Office of Areya Holder. Holder Law, 10 September 2010. Web. 1 July </p><p>2015. </p><p>TO LEARN MORE </p><p>VISIT WWW.TAXASSISTANCEGROUP.ORG </p><p>OR CALL </p><p>(855) 549-7829 </p></li></ul>