Get Legal Bankruptcy Advice When Debts Have You Down In The Dumps
- By Nick Messe
- Published 09/3/2009
- Legal
- Unrated
Why let feelings of inadequacy about your financial situation haunt your daily life, when there is a way to eliminate debt and put a stop to those harassing phone calls. Don't skirt around the issue any longer, get the professional advice that you need.
Bankruptcy sounds frightening, but it is not. It was invented to help folks like you get out of debt. There are basically two types of bankruptcy, Chapter 7 and Chapter 13. One might be right for you.
There is also something called debt consolidation that might suit your needs. This is why it is best to take advantage of the free consultation that most bankruptcy lawyers offer. Imagine the sense of relief you will have as you discuss your concerns with people who really know the intricacies of the law.
If your total income is below a certain amount and you don't own many assets, Chapter 7 bankruptcy can be a speedy way to a new beginning. Usually your personal things can be retained by you, if they are modest in value. Unsecured debts will be erased and there won't be a creditor repayment schedule put in place.
In Chapter 7 secured debts will continue to be paid by you. However if you give up the collateral you won't have any more payments, of course you won't have any house or car either. State or provincial taxes and income taxes owed to the government will remain pa
yable.
If you were in a marriage that has ended and you pay alimony, or such things as child support, you are still liable for those. Any payments due to a criminal conviction such as fraud, remain your responsibility.
Chapter 13 bankruptcy becomes an option if your personal situation is more complicated. In the present economic climate many folks who are lucky enough to have a regular paycheck, run into problems when their outgo exceeds their income.
People in this situation may have some equity in their house. They may not simply be making vehicle payments, but have a set of wheels that has some worth. They may own a lot of stuff that has to be taken into consideration when filing for bankruptcy.
In Chapter 13, a person must have some disposable income to deal with. This is what is left after your monthly living expenses have been taken away from your monthly income. Your assets will be added up, and your debts will be added up. Then a plan for repayment is arrived on based on what you can afford. This is when your legal team will get your creditors together to work out how to divide the pie.
Now you can breath a sigh of relief. The nasty phone calls will stop and you'll deal only with the trustee in bankruptcy to whom you will make monthly payments for three to five years. When you come out the other side it should be a renewed sense of responsibility, to strive to live within your means and to use credit wisely.
Bankruptcy sounds frightening, but it is not. It was invented to help folks like you get out of debt. There are basically two types of bankruptcy, Chapter 7 and Chapter 13. One might be right for you.
There is also something called debt consolidation that might suit your needs. This is why it is best to take advantage of the free consultation that most bankruptcy lawyers offer. Imagine the sense of relief you will have as you discuss your concerns with people who really know the intricacies of the law.
If your total income is below a certain amount and you don't own many assets, Chapter 7 bankruptcy can be a speedy way to a new beginning. Usually your personal things can be retained by you, if they are modest in value. Unsecured debts will be erased and there won't be a creditor repayment schedule put in place.
In Chapter 7 secured debts will continue to be paid by you. However if you give up the collateral you won't have any more payments, of course you won't have any house or car either. State or provincial taxes and income taxes owed to the government will remain pa
If you were in a marriage that has ended and you pay alimony, or such things as child support, you are still liable for those. Any payments due to a criminal conviction such as fraud, remain your responsibility.
Chapter 13 bankruptcy becomes an option if your personal situation is more complicated. In the present economic climate many folks who are lucky enough to have a regular paycheck, run into problems when their outgo exceeds their income.
People in this situation may have some equity in their house. They may not simply be making vehicle payments, but have a set of wheels that has some worth. They may own a lot of stuff that has to be taken into consideration when filing for bankruptcy.
In Chapter 13, a person must have some disposable income to deal with. This is what is left after your monthly living expenses have been taken away from your monthly income. Your assets will be added up, and your debts will be added up. Then a plan for repayment is arrived on based on what you can afford. This is when your legal team will get your creditors together to work out how to divide the pie.
Now you can breath a sigh of relief. The nasty phone calls will stop and you'll deal only with the trustee in bankruptcy to whom you will make monthly payments for three to five years. When you come out the other side it should be a renewed sense of responsibility, to strive to live within your means and to use credit wisely.
Nick Messe
Nick Messe is president of Lead Frog LLC. For more information about the pros and cons of filing bankruptcy contact the bankruptcy attorneys at LegalHelpers.com. LegalHelpers has helped thousands of people eliminate millions of dollars of debt and they can help you too.
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