Going through the process of filing personal bankruptcy isn't fun, but it’s sometimes necessary and can be a huge relief. Filing for personal bankruptcy means you have to answer some tough questions about your finances, consider your situation in light of the new bankruptcy law, figure out which bills to continue paying, and probably deal with debt collectors.

The founders of the United States foresaw that honest people might suffer severe economic misfortune or make poor choices. So, they provided for bankruptcy in the U.S. Constitution. Personal bankruptcies are covered mainly under two parts of the U.S. Bankruptcy Code: Chapter 7 liquidation: Chapter 7, commonly referred to as straight bankruptcy, is often what people mean or think of when they use or hear the term generically.

Discount and online brokerages have increased their customer service and added more servers so that customer trades are executed rapidly. Full-service brokers are increasing the capabilities of their Web sites and charging less for their services. The following are a few guidelines for selecting a broker that’s right for you: Full-service brokers: Full-service brokers usually charge higher commissions and fees than discount brokers, but they also offer more services.

If filing for personal bankruptcy is on your radar, continue paying whatever bills you can to stay within the law. Prioritize bill payments with the help of this list: Rent (unless you plan to move) Utilities Car (if you want to keep it) Mortgage (if you want to keep your home) Fines Child supp

If you're facing personal bankruptcy, you've probably heard from debt collectors. A debt collector's job is to get you to pay their client's debt, and they can be very inventive in finding ways to motivate you to do that. Debt collectors, however, are bound by laws, just as you are. What debt collectors can't do include the following: Call you early in the morning, late at night, or at any other unreasonable time or place.

If you're thinking about personal bankruptcy, you're looking at some hard questions and harder choices, especially under the newest bankruptcy law. Answer the questions in the following list to figure out whether you should consider bankruptcy and what type: Can you pay off your debts (except mortgages) within three years while maintaining an objectively tolerable standard of living?

The bankruptcy law that went into effect in 2005 makes it harder than it used to be to declare personal bankruptcy. It's much more difficult to liquidate your assets and get a fresh start to your credit history. It also means that there's a slim chance (less than 3 percent) that you may not be eligible for bankruptcy.