BankruptcyMaking the decision to file for bankruptcy is never easy, but sometimes it is the only course of action that makes any sense. If you find yourself facing bankruptcy, you may feel as if this decision will negatively impact you for the rest of your life. Fortunately, there are a few simple tips you can employ to remain optimistic. There are even some ways that bankruptcy can positively impact your future.

How to Stay Positive During Tough Times

When you file for bankruptcy, it can be easy to dwell on the negatives, and you may even fall into a pit of self-pity. If you hope to come out of the bankruptcy process with hope for the future, however, it is important to stay positive. One of the best things you can do to remain positive during bankruptcy is to be realistic about your situation. Take careful stock of your finances to get a better understanding of your income versus your expenses. The more you understand your financial situation, the better you will be able to control your future by making smart and informed decisions.

Another thing you can do to remain positive is to view your mistakes as learning opportunities rather than failures. Don’t get too down on yourself. The sooner you accept your situation and take control, the sooner you will be back on the right path. Take the time to think about the mistakes you made leading up to the bankruptcy and determine what you can do in the future to prevent a recurrence of those mistakes. You are in control of your life and your choices, so view your bankruptcy as an opportunity to learn from past mistakes and achieve a brighter future.

3 Positive Outcomes From Bankruptcy

When you hear the word ‘bankruptcy,’ you probably think only about the negatives. In reality, however, filing for bankruptcy can result in several positive outcomes.

  • Relief from collection calls. When you file for bankruptcy, it immediately puts a stop to credit collections, so you can take some time to breathe. As part of your filing, you should seek to obtain what is known as a “discharge”—a discharge of your debts. Having a discharge will prevent your creditors from continuing to attempt to collect on your debts.
  • Reasonable repayment options. Before bankruptcy, you may have felt as though you were drowning in debt. Certain kinds of bankruptcy allow you to repay all or some of your debts in a more reasonable way. In most cases, payments are based on your disposable monthly income, which allows you to pay off your debts without falling further into the hole.
  • You can start over. Filing for bankruptcy gives you the opportunity to start over—it is the perfect time to start implementing some financial planning to make sure you do not find yourself in a similar situation a few years down the road.

Just because you have to file for bankruptcy doesn’t mean that your future will be bleak. By accepting your situation and making an effort to learn from your mistakes, you can keep hope for the future alive.