Seriously thinking of bankruptcy
On a previous post someone asked about bankruptcy and you mentioned that the bankruptcy period is 9 months. Could you please explain this is more detail. Does this mean I would have monthly payments on this for 9 months only, or would I have to make monthly payments for 7 years? Also, could my wages be garnished?
There is always a lot of confusion regarding the time required to file bankruptcy, how long it lasts, and how long it may appear on your credit bureau report.
Briefly:
How long does it take to file?
It really depends on how organized you are. Your trustee requires a fair bit of information in order to prepare your bankruptcy documents (things like who you owe, what you own, where you live and work). Once you drop-off that information most trustees will have your paperwork prepared within a day or two, even faster if pressed.
How long does bankruptcy last?
The normal length of a bankruptcy procedure is 9 months and 1 day. If you have been bankrupt before, earn a high income or fail to perform the duties your trustee asks you to complete then the procedure may be extended at the discretion of the Court.
How long does it stay on your credit bureau?
You should check the credit bureaus’own websites directly to see what they have to say about bankruptcy. A good guide to follow is that your bankruptcy may appear on your record for up to 7 years from the date that you filed.
I hope this makes things a little clearer for you.