For many people facing bankruptcy, the burden of a troubling financial situation may overcome the need to file for bankruptcy protection. This is because like most other legal proceedings, you will need the funds to file for bankruptcy before you request protection. If you have prolonged moving forward with filing for personal bankruptcy due to low bank account balances and past due bills, you can revisit the idea of filing for protection with help from your tax refund and We The People of NY.

Now that tax season is finally over, many who have dealt with the difficult reality that they cannot create enough income to pay their credit card debts, utility bills, and other fees are starting to receive a significant boost in financial security from IRS tax refunds. If you are getting back thousands of dollars this year, you may now be able to afford the fees necessary for filing bankruptcy, and hopefully still be able to keep your refund.

Currently, if you can no longer meet your obligations to creditors and lenders, there are two types of personal bankruptcy available to you. Chapter 7 bankruptcy applies to consumers who choose to allow debtors to clear all or part of their debt. On the other hand, Chapter 13 bankruptcy allows for debtors to repay all or part of their debt based on a two or three year payment plan. In many cases, if you file for bankruptcy prior to filing your taxes, your tax refund may become a part of your bankruptcy estate. However, if you coordinate filing for bankruptcy after the tax deadline, you can use your refund on necessary expenses instead of losing it to debt. With We The People of NY, you can also choose to file for Bankruptcy “Pro se.” This allows for a Bankruptcy Petition Preparer to assist you in preparing bankruptcy documents, without a lawyer.

We The People of NY can provide you with a free Means Test, to see if you qualify for Chapter 7 bankruptcy, as opposed to Chapter 13. To contact a preparer at We The People of NY, call (212) 633-2200, or visit their storefront office.