Before filing for bankruptcy, it’s a good idea to consult with a consumer credit counseling agency. Not only does this allow you to assess your debt consolidation options, but also it can help you prepare your financial paperwork. If you do decide to file for bankruptcy, you will need to bring all of this financial information with you to your meeting with a Schaumburg bankruptcy attorney.
As this video explains, most petitioners file for Chapter 13 bankruptcy, as this protects against creditor advancement. Unlike Chapter 7 bankruptcy, Chapter 13 consolidates debt into one manageable monthly payment. This allows the debtor to make one monthly payment, without the fear of future collection activity.