debtWhen in debt one’s self-esteem and enthusiasm in life can easily be overcome by worry and uncertainty. This, certainly, is the same situation that millions of honest and hard-working individuals, who have problems paying their debts due to loss of employment, sickness, disability or death in the family, are experiencing. Worrying, however, will never solve debt problems, but a legal solution will: Bankruptcy.

There are millions of individuals in the US who file personal bankruptcy every year. Filing of personal bankruptcy is a legal right stipulated under the Bankruptcy Code, which the US Congress passed in 1978. This law was passed to help individuals, families running a business and business firms find ways to pay their debts and so regain control of their finances. There are different chapters in the Bankruptcy code, each designed to address the specific needs and financial situation of debtors.

Besides providing affordable solutions to paying debts, filing of personal bankruptcy also offers a host of other benefits, like cessation of the harassing tactics employed by collection firms in order to make a debtor pay his or her debts and freedom from dischargeable debts. While it is true that a debtor may have to surrender some of his or her properties/assets which will have to be liquidated, there are specific properties which, under the law, he or she can rightfully keep.

Summing it up, when in debt, one can either continue wallowing in this situation or take steps in solving his or her problem through bankruptcy. The important thing that people should understand though is that bankruptcy is not a way to escape debts and debt payments; it is rather a way to pay one’s debts in the easiest, legal way possible.