- cancels much of your debt
- can eliminate tax liabilities older than three years
- helps avoid missed debt payments, defaults, repossessions, and lawsuits
- gets you started on rebuilding your credit
- prevents your lenders from aggressive collection action
- prevents harassing phone calls from creditors, threatening letters, repossessions, cancelled credit cards, declined charge authorizations, and lawsuits
- allows you to keep your car if you remain current on the payment
- allows you to keep your home if you remain current on the payments
- allows you to exit foreclosure and make monthly payments on the past-due amounts
- prevents creditors from making a claim after the bankruptcy is filed, even if your financial situation changes
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- makes it possible to obtain the "fresh start" envisioned by the bankruptcy law only every six years, with most bankruptcy filings
- stays on your credit report for 10 years and severely affects your credit rating
- may require you to wait two years before you can buy a home, although some lenders allow for home loans after one year
- does not affect most tax debt
- does not affect student loan debt
- requires you to give up your credit cards
- carries a stigma that can be embarrassing
- may cause you to lose some of your possessions
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