New Prague Bankruptcy Lawyer

You are most likely considering filing bankruptcy in order to resolve your current debt situation. Yes, the decision can be a very difficult one because it involves an admission that you cannot repay your debts. The good news is that you are not alone. There are millions of Americans who are standing right where you are right now. This means bankruptcy should be looked at as a way to improve your quality of life rather than a failure.

As a matter of fact, the law is designed to protect you. When you file bankruptcy with your New Prague bankruptcy attorney, you will find that collection calls will stop and so will any lawsuits against you. Foreclosure proceedings must stop and your car can’t be repossessed. You are given the opportunity to work out terms with lenders that can allow you to keep those things that you need.

Minnesota Chapter 7 Bankruptcy

Chapter 7 bankruptcy, or “liquidation bankruptcy,” involves the discharge of all unsecured debts. Student loans, taxes, and back child support are examples of debts that cannot be discharged. However, credit card debt, medical bills, loans, and other unsecured debts can be. Most people are able to file without any of their assets being put at risk if the values of those assets do not fall within the exempt dollar amounts. Anything over the exempt dollar amounts can be seized by the court-appointed trustee to satisfy debts.

Minnesota Chapter 13 Bankruptcy

For those that do not want to file Chapter 7 because they may lose assets, they can opt for Chapter 13. Chapter 13 also works for those individuals whose incomes do not allow them to file Chapter 7. This type involves making payments through a court-approved plan that pays back all or part of the debt. This payment plan lasts anywhere from 36-60 months. Once the plan is complete, the bankruptcy is discharged.

Required Credit Counseling

Before a petition can be filed for Chapter 7 or Chapter 13, a credit counseling course must be completed. This course can be conducted online, in-person, or over the telephone. A person learns how to manage their debt, while also being told whether or not they can opt for a credit counseling plan or go ahead with bankruptcy. A document stating the course has been completed must accompany the bankruptcy petition before the process can move forward. Some individuals find at this phase that they may be able to resolve their financial issues through credit counseling, which is a settlement of debts with the creditors. Our office can manage this program for you as well.

Contact A New Prague, MN Bankruptcy Attorney

If you are in a situation where your debt is difficult to manage, there are options available to you. Those options are credit counseling and bankruptcy. While a dire debt situation is a very stressful one, it is one you do not have to be ashamed of. Circumstances in life can lead to financial issues and that is why Ross & Associates is here to help. We want to see you move forward in your life without the extreme burden of debt. To find out how we can help, call for a free consultation at 952-448-3333.