Tag Archives: Bankruptcy

Why You Should File For Chapter 7 Bankruptcy

debt text on calculator and magnifierIf you are going through a difficult time and you have overflowing debt and other unpaid fees, you might be considering filing for bankruptcy. Chapter 7 is the most preferred option for many.

Chapter 7 bankruptcy attorney in Salt Lake City can help you understand the situation and the actions you can take.

Causes of Bankruptcy

Are you currently on a job hunt, going through a tough divorce, or looking at a long list of medical expenses? These problems can make you qualify for Chapter 7 bankruptcy. On the other hand, businesses that wish to file for bankruptcy must choose a different type, such as Chapter 11.

Filing For Chapter 7: What to Expect

The time it takes to complete filing process is three months to half a year, which is considerately a short amount of time. Once you decide to file, you will be on “automatic stay”, which stops people from collecting money for your debts. However, there are two types of debt that you will have to sort out with your lawyer. These are dischargeable and non-dischargeable debts.

Dischargeable debts include credit and medical bills, which can be removed and lift the weight of some debt off your shoulders. Non-dischargeable debts include child support, student loans, etc. These debts may not be lifted, but if most of your debts were from dischargeable debts that were lifted, you may be able to pay off your non-dischargeable debt. Chapter 7 is a good option for those who have a low salary with little assets available.

If you find that your dues are now too much for you to handle, getting help from an experienced attorney is a wise move. A lawyer can guide you through the difficult times and provide the information and legal help you need.

Bankruptcy Filing: Do You Need an Attorney?

Businessman reaction to being bankcruptFiling for bankruptcy doesn’t always require legal representation. You can always do the filing on your own, but note that it requires thorough preparation, as well as an understanding of the legal issues. While you can represent yourself in a bankruptcy case, it not always the best idea. It is important to know that making mistakes in filing or misinterpreting the law can cost you more.

Deciding to handle the bankruptcy by yourself can cause problems even before the filing begins. Many file under the wrong chapter or do not understand the differences and important qualities of bankruptcy chapters. While you may qualify for both Chapter 7 and 13, know that they handle debts and properties differently. Filing for the wrong one may cause you to lose important assets.

Handling the Case Better

Consulting a qualified attorney is always advisable, as bankruptcy can have legal and financial consequences. The right one can help you determine the right chapter and advise you if you need to file a petition. Bankruptcy lawyers in Sandy, Osmond and Cockayne Associates, note that an attorney will also educate you about the laws and processes, assist you in the case, and help you prepare/file forms.

Dealing with Complicated Cases

It always makes sense to hire an attorney, especially when you have a complex case. Chapter 13, for instance, is much more complicated than Chapter 7 and requires more work. This is because you will need to create a repayment plan and have the court approve it. A bankruptcy attorney can help you create the right plan and accomplish complicated paperwork.

An Expert by Your Side

Even a simple Chapter 7 bankruptcy can be stressful to file. It is always advisable to hire an attorney if you have a lot of assets or debts that cannot be discharged. This is also true if your income has a potential to disqualify from pursuing Chapter 7 or if you own a business. Know that you can handle the case better with an expert by your side.

If you want to avoid long-term legal consequences, seek the advice of an attorney. Given the complexities of bankruptcy law and procedures, you are better off with a legal professional who can protect your rights.