In the year 2015 alone an estimated 819,240 people filed for bankruptcy in the United States. If you are feeling overwhelmed by your financial obligations, bankruptcy may be a good way to help you find some relief from your debts. Before you make the decision to file, it's essential that you take the time to consider how your bankruptcy case could affect your child. 

Here are two ways a bankruptcy filing could affect your child in the future.

1. Your child may lose access to funds needed for his or her education.

Many parents want their children to receive the best possible education. If you have been setting aside money in an account to help send your child to college, filing for bankruptcy could affect your ability to continue making contributions to the account.

Payments into a 529 college savings account on your child's behalf are acceptable up to 720 days (approximately 2 years) prior to filing for bankruptcy. Since contributions to the account may cease as part of your bankruptcy requirements, your child may find it difficult to pay for college expenses.

Be sure that you work with an attorney who has experience protecting educational savings plans from the negative effects of bankruptcy to minimize the negative effects your bankruptcy filing will have on your child's education in the future.

2. The line between your own assets and your child's assets can get blurred during a bankruptcy.

Many parents set up a savings account for their child to begin teaching fiscal responsibility. Birthday money or money earned through the completion of odd jobs can be deposited into this account. Unfortunately, if your child has a joint account that lists you as a co-owner, the bankruptcy court may view the money in your child's account as one of your assets.

Discovering that access to hard-earned money could be compromised can be devastating for a child. Work with a bankruptcy attorney to help prevent the inclusion of such parent-child joint accounts in your asset list during a bankruptcy can help you protect your child from the negative effects of your own bankruptcy filing.

When filing for bankruptcy is the best way to help you find the debt relief you need, you must take the time to consider how filing will affect your child. Visit with an attorney (such as Curtis A. Anderson, Attorney At Law) to discuss your options prior to filing, and you will be able to prevent your child's educational fund and savings account from being negatively affected during your bankruptcy.