Bankruptcy Debt: Is Bankruptcy The Best Way To Solve Debt Problems?
I am not a lawyer, I am a judgment referral expert (Judgment Broker). This article is only my opinion, about the laws I have studied, and what I have learned. Nothing in any of my articles can ever be considered legal advice.
They have the understanding, skills along with proven experience that will help you in every step of the way. Bankruptcy in itself is definitely demanding. However you may really help you save yourself from just about all the strain as well as issues associated with it if you get help from an experienced bankruptcy attorney as early as you can.
Robert Lawless, a professor of law at the University of Illinois, who is concerned about the effects of Illinois foreclosures and other state foreclosures on families and on the economy, argued against the bankers' contentions, saying the banking group is using scare tactics.
You will need to hire a competent bankruptcy lawyer to help you develop a plan that will support your future goals to become financially stable. Although the attorney will ask for several documents, these documents will help show how much money you earn and how much money you can afford to pay in monthly payments. Ask the attorney if you can provide him or her with copies of the paperwork that is needed. He or she will let you know if there are some special steps that must be taken related to the paperwork. It might be necessary for some of the documents to be notarized.
Chapter 7 bankruptcy allows you a clean slate. It can be one of the best financial moves you will ever make because it gives you the opportunity to look back on what brought you to the point of bankruptcy in the first place and make positive changes in the future.
The U.S. Bankruptcy Court controls the process and has the final say over everything done in the bankruptcy process. It has a unique power called the automatic stay, wherein the debtor is granted immediate relief from pursuing creditors, and the act also automatically stops growing debts from incurring their respective interests.
In order to determine whether Chapter 7 is appropriate for you, your attorney will need to consider your total amount (and types) of debt and whether or not you have a steady source of income. If you are employed or have another source of income, you may qualify instead for Chapter 13 bankruptcy. In a Chapter 13 bankruptcy, your debts are consolidated into a single monthly payment. While Chapter 13 doesn't rid you of your debts, it makes it easier for you to repay them and can help protect your credit.
However, not all debts can be discharged with chapter 7, such as federal student loans and alimony. If your overwhelming debt is under these categories, then you will not be able to benefit from the advantages of Chapter 7 because you have to file under chapter 13.