Home

credit-cards

Bankruptcy as an option to consider

Many Americans have secured fiscal freedom by filing bankruptcy for years. If you are drowning in debt that you don't see yourself paying off by any means within 1 or 2 years, then bankruptcy may be a great choice to consider. Filing bankruptcy can help you to get rid of the debt you have once and for all and have a look at the fresh start you need.

main Types of Bankruptcy

Statistically, the two primary types of personal bankruptcy available to Americans are Chapter 7 liquidation and Chapter 13 repayment plans. They are not identical, though, and should not be treated as such. Some creditors prefer Chapter 7, while others favor Chapter 13. It's called a "fresh start" bankruptcy because it allows the debtor to completely erase the vast majority of his unsecured debt.

For instance, credit cards, medical debt, payday loans, and even personal loans are all unsecured debts. Just how Chapter 7 bankruptcy can help those who have large amounts of debt and an earnings that is low, Chapter 13 bankruptcy is good for people with higher incomes as well as high figures of secured and unsecured debt. A Chapter 13 bankruptcy involves a three to five year repayment plan, where the debtor is allowed to pay back a percentage of accumulated debt. All their outstanding debt proportion is calculated by the bankruptcy attorney and the court-appointed trustee who will calculate his or her bankruptcy chapter. Chapter 13 is the more complex of the two bankruptcy chapters because of this calculation.

Bankruptcy Lawyers

Many people wonder whether filing bankruptcy is possible without an attorney. The short answer is yes – filing bankruptcy without an attorney is known as filing “pro se.” However, filing bankruptcy without an attorney is typically not advised. This is because, just like any other legal process, filing bankruptcy has complex forms, deadlines, and requirements that must be followed to the letter. In fact, omitting even something as simple as an amount from a certain form can cause a bankruptcy case to be completely thrown out. The simplest type of personal bankruptcy, Chapter 7, can sometimes be filed successfully without an attorney, but filing a Chapter 13 bankruptcy without an attorney’s advice is nearly impossible. If you are looking for a bankruptcy lawyer to help you with the process then Bankruptcy-Solutions.net can help you today.

Bankruptcy Laws

Bankruptcy law is federal, and governed by the bankruptcy code. The last major overhaul to the  bankruptcy code was in 2005. Although bankruptcy law is federal, each state is given the ability to create their own specific bankruptcy laws called state exemptions. Exemptions differ from state to state because they relate to how much value may be protected with regard to certain items like household goods, and personal jewelry. Some farming states may have exemptions for livestock and acreage, whereas more industrial states do not need exemptions like that and tend to focus more on exemptions surrounding homes and vehicles. When you have chosen a bankruptcy attorney you will want to discuss your specific states exemptions with them immediately. Bankruptcy-Solutions.net can connect you with a bankruptcy attorney in your area so that you can be on your way to a fresh start fast!