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Considering Bankruptcy? Call Attorney David A. Casey For Your Free Initial Consultation (619) 447-6780 We are a debt relief agency. We help people file for relief under the Bankruptcy Code. Personal Bankruptcy and other options are available to you. Before we get into the other options I will give you a short description of Chapter 7 and Chapter 13 and why so many people are utilizing this relief today. Chapter 7 and Chapter 13 are the two main chapters under Title 11. This is referred to by many as the Bankruptcy Code. A Chapter 7 Bankruptcy is a liquidation of assets while a Chapter 13 bankruptcy is a reorganization where the debtor creates a three to five year payment plan. Under Chapter 7, you can still keep some assets and most of the time under Chapter 13 you can keep all or just about all of them. The primary reasons for filing personal bankruptcy are general as follows: (1) Unforeseen medical expenses; (2) Excessive credit card debts; These are usually caused from loss of employment, reduction of work hours, divorce (very common), unable to get a home loan or refinancing due to the value of the home having declined to more than what the home is worth. Needless to say many of these events create not only financial difficulty, but also a tremendous amount of disruption and stress within the family. This makes it especially important that individuals consider all available options and bankruptcy alternatives to make sure whatever action they settle on is in their best long term interest. For most individuals, bankruptcy is the only option left. I have seen many people who have tried to work with the creditors only to struggle for years and end up owing more than when they started. To them, a bankruptcy may not be the only option but the best option that makes any sense. It helps relieve stress. You really do get a fresh start if you file Chapter 7. Some may not be able to file Chapter 7 for a number of reasons thus a Chapter 13 is another option that can help relieve the pressures of a large debt payment and extremely high interest which only gets you into deeper hot water.
For many borrowers who now find themselves unable to borrow or repay accumulated obligations, bankruptcy protection will eliminate past debts (school loans, taxes, and others remain unaffected), but the negative repercussion is that it can linger for years. The good news with so many individuals having to seek this relief in the last couple of years it does not have the same effect on you as it did many years ago, based on some well-known financial planners opinions.
Depending upon the state, bankruptcy can be on your credit report for up to a decade and may limit the opportunities available to those who file. But again if you are behind on your bills that will remain on your credit report anyways.
I will provide you with the information you need "like it is". No candy-coated or enticing line to get you to file for bankruptcy. I want you to be able to be aware of both the "good" and the "bad" side of bankruptcy.
Again it is best to talk with a bankruptcy attorney about your situation. I will discuss the different programs – Chapter 7 and Chapter 13. Each has their own advantages and drawbacks. If working with the creditors is possible then we can try that first. I always believe in keeping all options open and providing alternatives that work best for you.
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The effect of filing for Bankruptcy protection can be the breath of fresh air you and your family may need. It may be on your credit report for up to 10 years in certain states. It is now important to have an attorney filing the bankruptcy since the rules for filing Bankruptcy have changed. Bankruptcy is up 30% over 2007! Yes, it is harder than ever to “wipe the slate clean” in some cases. My office can advise you on what options you have and how effective each of them will be. Even if you cannot wipe your slate completely clean you still might be able to get just about all of the major debts relieved where you can easily make your bills again.
Chapter 7.
Debt Consolidation - Also called a Consolidation Loan, Debt Consolidation is the replacement of multiple loans with a single loan, The purpose is to give you a lower monthly payment and a longer repayment period. Unfortunately in today's credit, markets have tightened to the point that even a very high FICO credit score is not good enough. Many lenders want FICO credit scores of at least 700 and you must have a high enough income ration to your debt. Many are predicting that Debt Consolidation Loans are going to be severely limited in the future.
Credit Counseling - Consumer Credit Counseling companies are organizations that operate nonprofit financial counseling programs. Normally they will charge a fee for their services. They will then try to work with your creditors in order to reduce your interest rates and your minimum monthly payments. The problem here is that they normally will not offer you anything substantial. Many of our clients started out this way but tell us they need real relief now.
Do Nothing - This is a common approach. Many debtors like you have been struggling along while your creditors are turning up the heat. They are now charging you late fees, penalties and interest. These additional expenses make it impossible to keep your head above water any longer. You are to the point of either giving them the money and not having a roof over your head or doing nothing. That is when many realize they really do need the relief and the fresh start of filing a Chapter 7 Bankruptcy or in some cases a Chapter 13. That’s why you started looking for help and to make the tough decision. You also will realize that this may be the only option for you. Another thing you will realize that doing nothing is the worst thing you can do at this point. You will only suffer more. If you are at this point, don't wait any more. Please CALL the Law Office of David A Casey, at 619 447-6780. ASAP. Stop letting the creditors harass you into a bigger mess. My office in most cases can give you a way out and a fresh start. Also your creditors know we speak for you and we will work in the direction you desire. If you are reading this web page you know you need these services now. Don't wait any longer! Get the process started by calling the Law Office of David A. Casey at (619) 447-6780 as soon as possible.
With Chapter 13 bankruptcies, and
the new changes in the regulations, living expenses are now determined by amounts set
by the IRS should they earn more than their state's median income no
matter specific exceptions. The problem with this rule is that many
have
expenses greater than what the IRS deems reasonable. This happens when after one
period of bonuses or above-average overtime, the government
could misrepresent the filer's income well above actual earnings necessary
to qualify.
It's important to remember that even bankruptcies can fail. Most of
the time it is due to failing to list all of the debts or property or that the person had a
bankruptcy before and it has been too soon to file (within the last
seven years). Like all legal matters, Bankruptcy laws are there to help
the debtors and to protect the creditors from fraudulent attempt to
discharge debt. I will help guide you in making your choice as to
which one is
better for you, a Chapter 13 Bankruptcy or a Chapter 7 Bankruptcy. |
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