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Knowing When It’s Time to File

For people undergoing major financial stress and struggling to find relief in other less impactful areas, bankruptcy is often an option. At Utah Bankruptcy, our bankruptcy attorneys are here to help you through this tough period from start to finish.

The first question we always help our clients with: Is it truly time to declare for bankruptcy, or are there other options still available? There are a few things you can do to help determine whether it’s the right time – here are some suggestions.

Basic Questions

As you assess your finances, begin to ask many of the following questions:

  • Are you using credit cards to pay for necessities like groceries?
  • Are you unsure exactly how much you owe, and to whom?
  • Are you missing credit payments, or making minimum payments only?
  • Do you frequently receive calls from creditors for bill collection?
  • Have you considered debt consolidation?
  • Are you intimidated by the thought of breaking down your finances and finding solutions?

Financial Assessment

If you answered yes to any two of the questions above, or sometimes even just to one, it could be time to take stock of your entire financial profile and ask some hard questions. Inventory all your liquid assets, including retirement monies, real estate, stocks, bonds, cars or other vehicles, savings accounts and any non-bank account funds you may have.

Make a general estimate for each item we just mentioned, and then compare these totals side by side with a compilation of your bills and credit card statements. If the value of your assets can’t match the amount you owe, bankruptcy may have to be something you begin to consider.


The two most common forms of bankruptcy are Chapter 7 and Chapter 13, and our bankruptcy lawyers can help walk you through which will be right for you. Chapter 7 tends to be more for people looking to fully liquidate and start over, where Chapter 13 allows you to keep some property and reorganize certain financial elements.

Want to learn more about determining the right time for bankruptcy, or any of our other services? Speak to the attorneys at Utah Bankruptcy today.