If you or your partner are pregnant, debts and bankruptcy are probably the last things you want to think about. Mounting bills and pressing debt collectors can make an already stressful time more difficult. But while you may be tempted to file for Chapter 7 bankruptcy immediately and get it out of the way, it could be beneficial to wait until after the baby is born. Consider the following points and consult with your bankruptcy attorney before moving ahead with bankruptcy during pregnancy. 

Assessing the Urgency of Your Case

For many people pursuing Chapter 7 bankruptcy, waiting a few extra months won't have a noticeable impact on your day-to-day life. If, on the other hand, you're facing penalties like car repossession or foreclosure, you might need to move more quickly. When in doubt about the specifics of your case, consult with a bankruptcy attorney. He or she should be able to examine the actions taken against you and offer advice on whether or not they can be delayed until after the pregnancy.

Considering Means Testing

Chapter 7 bankruptcy factors in means and budget when determining your eligibility for bankruptcy. Family size plays a role in income limits, and in most states, an unborn baby is unlikely to qualify as a member of the household. By waiting until after the birth, your household size as well as monthly budgetary needs should increase accordingly, leading to more favorable terms. And, if your income would otherwise be too high to qualify, a baby could push you below the income limit.

Planning for Medical Debts

Even a simple, uncomplicated birth can rack up thousands of dollars in medical debt. Hospital bills represent a significant setback as you try to regain your financial footing, and they can easily become overwhelming should complications occur. Since you are already planning to take a hit to your credit, it may be wise to include any medical debts from the birth in your bankruptcy procedure. In this case, wait to file until both mother and child are safely home.

Speaking to an Attorney

Before making any major decisions regarding your finances, speak to an experienced bankruptcy attorney. Be sure to mention your special circumstances and don't hesitate to ask questions. A good attorney will help you make the best choice possible for your growing family to ensure your future stability and prosperity. Get started today by contacting your local bankruptcy lawyer and scheduling a consultation.

For more information, contact a professional like Alan G. Seligson PC.