The phone calls never seem to stop. Creditors want the money you owe them, but you don’t have it. You’re overextended, and there seems to be no other way out except through bankruptcy. It’s time to weigh your options.
Chapter 7 bankruptcy laws offer filers the potential to wipe their slate clean and start fresh. You pay all the debt that you can, the rest is wiped away, and, within a few months, you can take a deep breath and realize you’re debt free. It sounds like the perfect scenario, but first make sure you understand all that filing for bankruptcy entails. In order to pay off as much of your debt as possible, Chapter 7 bankruptcy requires that you liquidate your assets. Sure, you realize you will have to liquidate some of your bigger items, such as your car and your home. However, you may even need to liquidate something as simple as a domain name.
A popular domain name can be worth a lot of money, and that’s money that might go toward your creditors. It doesn’t matter if you registered a domain name that was already popular or if you built your website from the ground up. If it’s worth cash, you could stand to lose it.
However, thanks to bankruptcy laws, you do have options. For instance, if the website is your source of income, you will be allowed to keep your domain so you can maintain an income. On the other hand, if you decide to liquidate it, you may be further on your way to being debt free.
Seek advice from a reputable bankruptcy attorney before you make your final decision. It’s possible your domain name is worth a lot, or it could be worth nothing at all. It’s best to know what’s in store before you file for bankruptcy so you can prepare for your new debt-free future.








