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What are the advantages of  bankruptcy for individuals doing Chapter 7 bankruptcy?

What are the advantages of  bankruptcy for individuals doing Chapter 7 bankruptcy?

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1) Filing for Bankruptcy will put automatic stay which will stop creditors to sue the debtor for their debts and repossessing property such as cars, and sending letters to debtors.

2) Debtors may discharge their obligation to repay their dischargeable debts.

3) Bankruptcy exemptions help debtors to go through the bankruptcy process without losing any of their property.

4) One can learn to live within his/her income (surviving without credit card) which will help to prevent future financial losses

5) After declaring personal bankruptcy, debtors will have education to guide them as they learn new financial habits by taking credit counseling

6) Many debtors begin improving their credit rating after filing for bankruptcy as bankruptcy filing remains on debtor’s record for 7-10 years, because many debts are discharged in this period.

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