What is a Bankruptcy Scam?

bankruptcy scamYou are in debt beyond what your income level could ever support. It happened before you even knew it and, in many cases, was likely due to a combination of things out of your control and poor spending patterns.

The good news is that bankruptcy is an option available to many people to help them wipe their debts out and get back onto firm financial footing. The bad news is that there are many companies and individuals out there who will take advantage of people at their lowest points.

Today, we want to talk about bankruptcy scams and how to avoid them. Please seek help from a qualified and experienced Arizona bankruptcy attorney when you are considering your debt relief options.

What Can Happen?

If you are or have ever been deep in debt with no foreseeable way out, then you know how desperate the situation is.

  • Debt collectors calling
  • The threat of foreclosure
  • Credit cards are maxed out and behind in payments
  • Watching to make sure your vehicle does not get repossessed
  • Wondering if you can put food on your family’s table

When there are no more options and your finances have been upside down for a year or more, you may start to see companies offering you a quick way out of financial trouble.

If it seems too good to be true, it almost always is.

What do we mean by that?

You might be getting set up by a scammer if the following circumstances are present:

  • They offer a ‘quick fix’ to any and all of your financial problems
  • They as for money up front for various things
  • They say your credit will immediately recover with no negative marks
  • They say that this is a quick process

How To Avoid This

The most reliable source of information you will get concerning bankruptcy is going to come from a qualified bankruptcy attorney.

Why is that? Aren’t all lawyers looking to make easy money?

No, they are not. In fact, most attorneys are going to tell you the truth about your options because they do not want to lose their license to practice law. Attorneys have certain laws and regulations to follow. If they do not, they can face losing their license as well as a professional malpractice lawsuit.

What will your attorney do?

First, they will not offer you a quick fix. They will go over your finances and debts with you and thoroughly review each option available to you. This could be a range of things:

  • Filing for Chapter 7 or Chapter 13 bankruptcy
  • Going through traditional debt consolidation

Your attorney will be qualified to handle all of the paperwork required in a bankruptcy. This includes the initial petition, dealing with all creditors, and preparing for any court hearings. This process generally takes a few months to complete depending on what type of bankruptcy you are qualified for.

What Happens Now?

It is time for you to step up and get your financial life back under control. If you are facing a mountain of uncontrollable debt, you may be considering bankruptcy. Please speak with an Arizona bankruptcy attorney before making any decisions. Be aware that there are many scammers out there who willingly take advantage of those who need the most financial help. They offer promises that sound so good, but they are rarely telling the truth.

Remember, bankruptcy is a legal way of getting a second chance financially, but you need to ensure the root of the problems are handled or you could find yourself in the same position again in the future.

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