The Basics Of Bankruptcy
Are you facing financial troubles? Have you tried to alleviate your debts by working with the companies, but not succeeding? There are many reasons for a person to enter into financial difficulties. It is possible that you or a spouse has lost a job, you have medical bills that need to be paid, or you have used credit cards to get by.
If you have tried to work with your creditors to no avail you are probably beginning to look at the options of bankruptcy. There are six laws in bankruptcy and two of those laws deal with the individual. You have probably heard of Chapter 7 or Chapter 13. These deal solely with you as the individual. You may or may not have to appear in court depending upon your circumstances.
It is best to hire a lawyer who specializes in bankruptcy law to help you understand the rules of bankruptcy. Income is important. If you make a certain amount of money and have savings it may not be possible to file for bankruptcy. You will also want to know about non-exempt assets. These are assets the courts can take from you to sell off in order to pay your debts. On the other hand you may find your creditors do not fight the bankruptcy and all your debts may be absolved so you can start fresh.
You also have to keep in mind with a bankruptcy that your credit report will be damaged. It will be hard for you to obtain loans on homes, cars, and even student loans if you have gone through a bankruptcy. You will want to ask your lawyer about the possibilities of improving your credit while the bankruptcy takes place. Certain companies are still willing to loan money for a fairly high interest rate, but it can help you save your credit.
Knowing a few basic things about bankruptcy will help you to achieve a better financial status when the trouble is over.
Call us today and speak directly with an attorney for a free, no obligation, consultation to see if you qualify for bankruptcy and if it is the right decision for you and your family.
Wessler Law Firm is a small family owned law firm specializing in bankruptcy law since 1982.
Disclaimer: This article is meant for reference only, and is not intended to be legal advice.
For legal counsel regarding your situation, please consult an attorney licensed in your state.