One of the disadvantages is that bankruptcy will impact your credit for some time. It may remain on your credit report for up to ten (1o) years. The advantages are that even though it will come on your record, the bankruptcy itself usually takes less than six (6) months. It allows you some freedom from your debt. It also keeps you from, if you miss debt payments, defaults and if things are looking at being repossessed and law suits, there are a lot of advantages where you can build up your credit.

Another disadvantage is you might lose property that is not exempt and lose some of your luxury possessions. However, in Massachusetts there are many state exemptions that allow most things that you own to be exempt from properties; including homes, retirement accounts, most times personal property and in most Chapter 7 Bankruptcies there is no property that the Trustee where the creditors would be able to get, but you will always have to look at the particular circumstances to see whether it is exempt or not.

Further, you are able to keep your salaries or wages that you earned and the property that you buy after you filed a Chapter 7. Another disadvantage is that you will not be able to use your credit cards, but the advantages is that credit cards are likely what has gotten you into the problem to begin with. You can also obtain a new line of credit after filing for bankruptcy and it is usually at a higher interest rate and it might be one (1) to three (3) years, but you can use debit cards or get a co-signer.

Another disadvantage in claiming bankruptcy is it might make it difficult for you to be in Chapter 7 to file another bankruptcy within six (6) years if something bad happens. However, if you are declaring bankruptcy now, you are able to rebuild your credit and even though you can only file for Chapter 7 once every six (6) years, there is a Chapter 13 that if the financial circumstances are disastrous that you are entitled to file again.

Another disadvantage is that bankruptcy will not relieve you from any obligations from child support, alimony or student debt and with the alimony and child support you need a court order from the Family Court.