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How to file for bankruptcy in India?

Which is better on my credit rating? Bankruptcy, or negotating with creditors?

  • I've been laid-off 5 times in the last 7 years due to the economy (my jobs were usually sent to India) and it finally wiped out my finances, savings, retirement, etc. last year. My last layoff was in November of 2005 and I finally just got a new job this month. In 2006, I was looking at filing Chapter 7 (AND I qualified for it according to the attorney). Before anyone starts thinking I'm some sort of deadbeat who's in way over his head and a crummy worker, I'm not. Every job that laid me off, gave me raises AND promotions prior to the layoffs. I was typically making $70K per year and able to afford ALL of my living expenses and be able to put away savings prior to the layoffs. So, here's my question: My new job makes $86K per year now and I CAN afford to start paying my bills again. Should I continue to file bankruptcy on schedule and start a 3 or 5 year repayment plan under Chapter 13, or should I negotiate with my creditors to establish a private payment plan with them?

  • Answer:

    Explain what has happened with your creditors. Many will be willing to work with you as they will get their money eventually. You may find one that will give you a consolidation loan to help you streamline your payments. Most will negotiate a reduced or zero interest for the remainder of your balances. If you can pay your debts again I would seriously stay away from the idea of bankruptcy. A few late payments of your credit report is one thing, a bankruptcy is another beast altogether. You may want to find an accountant who can handle your money for you and talk directly to your creditors.

Gary D at Yahoo! Answers Visit the source

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Bankruptcy.

skcs69

if i were you i would try and settle your debts with the companys because filling bankruptcy will take a long time to restablish your credit back and for the first couple years no one will finance you for anything you have a better chance in trying to settle with the companys you are in debt with most of these companys will settle if you offer them a reasonable payoff amount

BlessedMommyof3..

Negotiating with creditors will hurt your credit, but not quite as bad as bankruptcy will. Good luck to you...I've been on the verge of bankruptcy myself, and slowly but surely am starting to be able to breathe again!

battalion_of_fear

Everyone is wrong here. Email me and I'll explain a correct course of action which is simple, effective and works for the long-term--no bankruptcy or any other nonsense. I am not selling anything.

NONAME

Definitely not bankruptcy. Go to a credit counseling service, show them what you've gone through and tell them you want to pay it off. They will get in touch on your behalf with the creditors and streamline your payments so you can actually pay off your debts without running into the problem of high percentages and minimum payment. Look in the yellow pages of your city. They will make you a budget you have to adhere too, therefore there's not much room for party or vacation time, but at least you'll be back on track.

Mightymo

If you are a serious candidate for either, your credit is already bad. Paying what you owe is always better than not paying. Your credit will recover faster if you live like you were making $50,000 and apply everything else to your debts. You can afford to live better that most people and eliminate your debt in 2 or 3 years. Once you are out of debt, you can pay cash for everything and still live better than most people.

STEVEN F

Many people are in a similar situation and it is better not to opt for bankruptcy, some info I found which would help you: How to Avoid Bankruptcy Explained With the rising consumerism, aggressive advertising campaigns and increasing incomes, people are living well beyond their means. As a result, they are burdened with heavy debts. If they are unable to repay the dues, they have to file bankruptcy. Bankruptcy is the last resort when you are reeling under financial problems

mar c

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