1-Sell your ball and chain
What causes this great financial pressure? Have you bought a lot of houses? Do you represent payments 60% of your full salary? Do you owe money on any car or motorcycle? Personal bankruptcy can often be avoided by taking a good, serious and focused look at what they owe and why they owe it. Although most bankruptcies are due to health or home-related costs, we still need to analyze why a medical or home bill caused the ultimate stress that led someone to go into personal bankruptcy and enter into frustration.
Not only do you need to evaluate the types of balls and chains that lie around them, but you also need to know what kind of scrap or something plus you can sell quickly to cover any shortfall from month to month you may encounter. Do you have a lot of books, phones or computers that you can sell? Any hobby items you no longer use or need? Freeing up these funds can help you bypass a lot of monthly invoices. It will give you space to breathe and concentrate which will allow you to think more clearly about other ways to avoid personal bankruptcy and move your life forward.
2-Increase your income
It may seem a bit obvious, but it is often overlooked. You should not only consider cutting expenses or lowering bills. What can you do to increase your income in another way? Can you work overtime and get a second job delivering pizza? Work for a delivery company? Can you mow grass, paint houses, wash windows, buy and sell things wanted in a market, etc.? Part-time work that brings in an extra $ 700 per month will do wonders for your monthly budget and get you out of many problems.
This is not a time of pride and splurge. You need money badly. You will need to work towards it. You may even need to do things you don’t like and don’t want, but you do it for a short period of time with patience so you can avoid a long-lasting curse: personal bankruptcy. Avoiding this financial crisis by getting rid of it in the short term will bring you long-term benefit and you will relax with time.
3-Keep your Perspecive
Emotional times are likely to be very important to you now. Maybe your marriage is stressed to the extreme, you think about your money problems constantly and you always feel frustrated. This is not a time to jump into any bad thoughts. You need to take advantage of many minds and many ideas and consult with trusted friends and family. Consult before you decide to take any financial steps. Above all, remember that your value is not linked to the value of your wealth. You are not a bad person for being in these circumstances. Although you will be one of the reasons for not succeeding, but realize that life happens – sometimes in a very harsh way that makes you hate yourself and people around you but with strength and determination you will pass.
4-Get a written budget
One way to avoid personal bankruptcy is to have a written budget immediately. Write down only your daily essentials and set an adequate budget. The money that is organized before landing in your portfolio will work harder, last longer in your portfolio, and keep your money stronger than any other financial movement you can make and this over time will help you out of bankruptcy.
The simplest budget may work best for you: pen and paper that’s what you need. Others enjoy using Excel spreadsheets or paid programs. The key is not what you use, but how you use it correctly.
5-Restructuring your mortgage.
If you pay for your home, there is another way to restructure your mortgage. By arranging a new and arranged mortgage payment plan, you may be able to save some money to put towards paying off your debt. It is worth it if you can avoid bankruptcy or get some for enough money for other purposes.
There are two basic ways to change your mortgage that can help you avoid personal bankruptcy. The first is to negotiate an agreement with your housing lender to reconfigure your mortgage under a new payment method. Find out if you can set another schedule to pay or temporary under the same terms as your original mortgage. The second method is to completely refinance your mortgage, which may involve applying for a lower adjustable rate over a longer period of time which will help you a lot. The money you save can be helpful in paying off your remaining debts and avoiding bankruptcy significantly.