According to the U.S. Bureau of Labor Statistics, the unemployment rate recently rose to 14.7 percent. As millions of Americans are out of work because of COVID-19 related business closures, financial hardship is a very real fear for many. While you may have heard to ride out the storm, this may not be in your best interest in the long run. If you are contemplating a bankruptcy filing, the time to act is now.
Why file for bankruptcy during the pandemic? If you live in Columbus or central Ohio, now is the time to find a bankruptcy attorney who will dedicate the time to your claim to ensure you are set up for a prosperous financial future. It’s important to know what options are available to you, so while you may think you can handle filing a claim on your own, it’s better to seek legal advice early. One factor many Americans facing these hardships do not consider is how quickly the situation may change. Whether you are able to get back on your feet and no longer need to file a bankruptcy claim, or your situation gets worse and now you need to better organize your debts, it’s critical to sit down with an attorney, look at the big picture of your financial situation, and come up with a plan. Because so many Americans are in the same economic crisis as a result of COVID-19, there is likely to be an increase in bankruptcy filings. If you can get ahead of the rush, you’ll be glad you had the time to think about all of your options. Remember, you can only file for Chapter 7 bankruptcy once every eight years and two years from the last time you filed for Chapter 13 bankruptcy. That’s why knowing your financial situation clearly will help you make the right decision.
Don’t borrow from your retirement plan or 401K. This is just general good financial advice but becomes increasingly important when it comes to bankruptcy. Some debts are not removed in the bankruptcy filing and borrowing against your retirement is one of them. You will have to pay that money back, so it’s best to just not touch it.
Do not commit one of the bankruptcy mistakes. There are many things you should and need to do when it comes to filing for bankruptcy. However, there are also a lot of things you legally should not do. These mistakes include:
- Lying about assets
- Hoarding cash
- Giving property to family and friends
- Using your credit limit
- Filing without guidance
The nuances of bankruptcy coupled with the unknowns of COVID-19 can make the process seem too much to bear. But Jones Law Firm is ready to help.
Don’t let COVID-19 stop you: The Jones Law Firm is here to help.
If you live in Columbus or central Ohio and are experiencing financial distress as a result of COVID-19 unemployment or health issues, we encourage you to contact The Jones Law Firm
for a free consultation. We will help you determine whether Chapter 7 or Chapter 13 bankruptcy is right for you and if now is the most lucrative time to file. We know that the bankruptcy process can seem overwhelming. You may even feel ashamed to go through with it. But remember, everyone is struggling. Don’t prolong it. That’s why we’re here, to guide you through the process. With offices in Reynoldsburg, Ohio
, The Jones Law Firm works with clients in and around Columbus, Ohio. Don’t delay. Your financial future begins now.