Written By Jhoni Saprol on Saturday, June 25, 2011 | 5:37 AM
Bankruptcy, also known as insolvency, is a legal status of a person or an organization that cannot repay the debts it owes to its creditors. Declare bankruptcy is a complicated legal process, and sometimes a person is confused about the terms and time to file it.
As consumer debt has skyrocketed to over $3 Trillion, many believe the only way out from under the mountain of bills is to declare bankruptcy. But is it right for you? Many myths persist to misinform the public.
“Probably the worst myth about bankruptcy is that you need to be flat broke before you should file,” says Sacramento bankruptcy attorney Gerald B. Glazer. “It is not good to wait until creditors are knocking on your door,” according to Glazer. Planning can prepare you for a bankruptcy that causes the least amount of financial disruption.
If you ever got yourself in a difficult situation with your debt, don't forget to consult an experienced lawyer. Gerald B. Glazer is a Sacramento bankruptcy attorney who already in this business for twenty-five years.