Filing bankruptcy can be a very difficult decision to make. It is known as that last resort after trying everything to resolve a bad debt situation. But if you have creditors calling you every day, are facing possible lawsuits, fearing foreclosure of your home, or your automobile may be repossessed, you need to do something as soon as possible.
There is no doubt that experiencing any of the above debt issues is causing a lot of stress for you. This can have an adverse effect on your health, which tells you that you need to do something. Ross & Associates has a great deal of experience helping clients in Scott County get their debt under control so they can start over financially.
Types Of Bankruptcy
Not everyone qualifies for Chapter 7 bankruptcy. This does not mean you cannot file bankruptcy. Chapter 7 is called “liquidation bankruptcy,” which means you can discharge all of your unsecure debt. You may not even have to lose any of your assets if they are exempt. This means that as long as the worth of your assets fall within certain dollar amounts, they cannot be taken by the court-appointed bankruptcy trustee to sell and satisfy any of the debt. Your bankruptcy attorney will review your assets with you and you will be able to determine what is exempt and what isn’t.
Chapter 13 bankruptcy is different in that your assets may not be threatened as long as you pay your court-approved repayment plan on time every month. You and your attorney devise this plan and present it to the court. The amount is one that you can afford and can include all of your debt rather than just unsecured debt. This payment plan lasts anywhere from 36 to 60 months and may only consist of a percentage of some or most debts rather than 100%.
Credit counseling can be an effective way to deal with debt and is one of the avenues that individuals take before considering bankruptcy. We can help you settle with creditors in order to eliminate or reduce interest rates, reduce payments, and stop over-limit and late fees. This pays off the debt faster.
If you find that bankruptcy is the best route for you to take, then you will have to take a credit counseling course online, on the telephone, or in-person with an authorized credit counselor. If it is found you are a good candidate for bankruptcy, a certificate stating this is included with your bankruptcy petition so the process can move forward.
Contact A Scott County Bankruptcy Attorney
Even if you are not sure whether or not you want to file bankruptcy, it is good to evaluate your situation with an honest and qualified attorney. You can learn about your options, such as whether bankruptcy or credit counseling is best for you, and take the first steps toward initiating the option of your choice. To find out more, call for your free consultation at 952-448-3333.