Most people will agree that procrastination is not a healthy habit.  Without a doubt, lots of people have a pattern of putting things off until the last possible moment, but that does not mean they agree it is the best way to handle their business.  When considering a bankruptcy, procrastination can really work against you.  A Chicago bankruptcy attorney will be the first one to say that you should not wait to file for bankruptcy.

Why People Delay Filing

People will offer up a whole host of reasons for delaying the filing, but it all boils down to one common theme.  Most folks believe that something positive will happen and they will be able to catch up on their bills and avoid filing bankruptcy.  However, that is usually not logical.  The chances of receiving an inheritance from some long lost relative are about as likely as winning the lottery.  Money does not fall out of the sky and windfalls are rare.

Possible Consequences of Delaying

Filing for a bankruptcy takes a little bit of time.  Your attorney needs to first sit down with you and review your assets.  Then the attorney will need to work through a means test that analyzes your income for the past 6 months and compare that to your debts.  Once it’s been determined that you qualify for bankruptcy the Chicago bankruptcy lawyer must file the petition with the court.  None of this is immediate.  That means that if the bank sends a representative to collect your car for lack of payment, you cannot just call the attorney and stop the repossession.  The same goes for a foreclosure.  Once the car or home has been seized by the creditor filing bankruptcy does not help get the asset back.

The Sooner the Better

Most of the time people that choose to file bankruptcy have suffered through a difficult situation.  A medical illness, loss of job or a divorce are typical scenarios that usually push people to seek protection from creditors in a bankruptcy case.  If you are facing one of these situations, or anything that greatly reduces your income, it is wise to seek the counsel of an attorney right away.  The attorney can provide advice and answer questions about your situation.  If filing bankruptcy really is the best choice for you then the attorney will have the necessary time to make the petition and ensure that you are able to keep your assets.