Are you tired of having to chase your bills every month? Perhaps you are like many and you find yourself prioritizing your bills based upon what will do the most harm to you at the moment. For instance, you may pay your electric bill first because you have a disconnect notice; otherwise you would be putting it off if your telephone bill or gas bill is due to be disconnected first. You already had to let most of your credit accounts go past due, but you pay them when you can. When you look at your credit statements, you find that all your payments are doing are paying the fees and not going toward the principal. In the meantime, you are still getting harassed by collections calls and you may even be facing a lawsuit if this pattern has gone on for a long period of time.
The scenarios are many and they can be quite messy, which is why Ross & Associates is ready to help the moment you call. There are options to your debt situation and they include Chapter 7 bankruptcy, Chapter 13 bankruptcy, and credit counseling services. We can help you assess which of these will work best for you and we will help you every step of the way.
Minnesota Chapter 7 And Chapter 13 Bankruptcy
One of the first tasks you will complete with your Waconia bankruptcy lawyer is a means test. This is your means to pay back your debt. Most individuals that file Minnesota Chapter 7 do so because they have no disposable income to pay back their debts. Their debts far exceed their income and it would take a significant financial improvement in the near future for that to change.
Those that file Chapter 13 do so because they cannot pay all of their debts, but they do have some disposable income. The amount they cannot pay far exceeds what they can, but a payment plan that they can afford is put in place that allows them to pay back all or part of their debt over a 36 to 60 month period. Someone may also opt for Chapter 13 because they have assets that exceed the Minnesota state or federal exemptions for asset values. If someone files Chapter 7 and they have an asset that exceeds the exempt amount, the court-appointed trustee to their case can take that asset, sell it, and satisfy some of the debt. However, only 5% of individuals filing bankruptcy lose assets.
Credit counseling includes a debt settlement service while also educating on how to cut costs. When you opt for this, we can negotiate with creditors to achieve smaller balances, elimination of interest and fees, and smaller payments. Creditors may or may not agree. If they don’t and that places you at a disadvantage financially, it may be ideal to move on to bankruptcy. If they do agree and that places you in a positive financial situation, then the debts can be paid off in approximately 36 months.
Contact A Waconia, Minnesota Bankruptcy Lawyer
If you are considering bankruptcy, Ross & Associates can guide you through the process so you always know what to expect. This reduces a great deal of stress. In the end, you will be able to be free from your debt so that you can move forward personally and financially. To find out more about how we can help you put an end to the debt that is holding you down, call for a free consultation at 952-448-3333.