4 Tips To Handle Bankruptcy

Because of the stress a bankruptcy filing can cause, filers tend to feel scared, anxious, and sometimes depressed. There is an unwarranted social stigma placed on those that file. So how can you feel more confident after filing for bankruptcy?

  1. Accept Your Decision. If you have decided to file for Chapter 7 bankruptcy, odds are you have examined everything from taking out more loans to borrowing money from family, and even debt settlement. In other words, bankruptcy was the best available option to help you discharge your debts. Instead of second guessing yourself or regretting the past, it is wise to look ahead to your new financial path. You now have taken meaningful action toward a better future.
  2. Listen to experts. One of the ways you can feel more confident while your bankruptcy presses forward is to take the advice of experts. Your attorney should be able to provide you with guidance, but there are more options to help. Taking a debt management class can help you prepare for the future and give you actionable steps to budget more effectively. Find podcasts that deal with personal finance, such as the one produced by Dave Ramsey.
  3. Establish your plan. One of the many reasons you’re filing for Chapter 7 bankruptcy might be that you didn’t have a strong plan for your finances. Now is the time to craft one. Take the advice from your classes, and learn to plan your budget. Practice by setting small, attainable goals (say, plan to save $100/week). Take satisfaction when you have met your goals (it costs nothing) rather than heading out to buy a congratulatory gift.
  4. Donate what you have (time). You may be hard up for money, but most people get a tremendous amount of satisfaction from volunteer work. Organizations such as Habitat for Humanity and The Red Cross are always looking for help, and you can even give time at your local food banks or churches. You’ll start to experience a sense of accomplishment that should alleviate the negative feelings you may be having,

Following these simple, actionable steps can make a world of difference in how you come out of your bankruptcy. Not only will your emotional health be improved, but you’ll find yourself more prepared to make positive financial decisions in the future. Of course, the first step to this is filing your Chapter 7 bankruptcy. If you’re under pressure from creditors, give The Mitten Law Firm a call for a free consultation..