No-one plans for their finances to take a big hit. Unfortunately, whether it’s in your control and you missed a step or it’s entirely outside your influence, it happens. Life trips you up and your money is going to take a lot of the fall. When you’re facing serious bills or debts, it might seem like there’s no recourse at all. When a simple re-budgeting isn’t going to help, however, there might be a few ways the legal system could.

finances spinning out

If dealing with medical costs
One of the most common reasons people get into heavy debt is due to medical bills after a health crisis. We live a system that puts people in serious financial danger as a cost of being alive and healthy. But you shouldn’t be so quick to pay off your medical bills and deal with the cost of being out of work. If you’re injured or made sick and it’s not your fault, you have a right to fight for the truth of the matter. When you’re injured, start collecting as much evidence as you can as to whom the real responsibility belongs. Insurance and workers comp payments can actually decrease the amount of money you get overall, so it’s worth looking into legal advice first.

Getting a new deal
Negotiating with creditors is a way that people have been dealing with fast-creeping debt for a long time. When it comes to your mortgage, it can be a more complicated, but the process is still doable. Letting your mortgage provider know about your difficulties is the first step. Legal advisors like the Cogburn Law Office provide sample letters you can use to properly convey your troubles in the proper and effective manner. You can also go further and use legal services to start the ball rolling on loan modification. This way, you can start restructuring your mortgage that in a way that helps you get and stay current.

Filing for bankruptcy
If you seem entirely out of options, there’s a good chance at least one left to you. Bankruptcy is not a cure-all like some expect it to be, nor is it the rock bottom that many others will fear it is. Instead, it is a way to erase most (not all) of your debt and start from zero again. It should be noted that some financial obligations like alimony, child support, and restitutions can continue well beyond bankruptcy. Before you consider filing for it, you should take a look at some the myths you can easily dispel around bankruptcy. You don’t want to go through the process only to find out your financial troubles haven’t ended after all.

There are a lot more specific options to strategically approach money issues legally. When you’re looking for help, make sure you’re looking for people who deal with your exact kind of situation, not those who offer a broader range. That way, you’re a lot more likely to get the specialists who have the experience you need in the field you’re dealing with.