Do you need a Bankruptcy Attorney?
If you’re straddled with too much debt, and having difficulty paying it off, a bankruptcy attorney can help you get out of debt and get a fresh start financially. An attorney will get your creditors and collection agencies to stop contacting you, and they can completely eliminate your debt if needed. If you have assets like real estate you’d like to protect, your attorney can also help you keep these assets while you still file for bankruptcy and get rid of other unwanted debt.
If you decide to contact a bankruptcy attorney to help you get out of debt, you should have some knowledge of the types of debt you can and cannot get rid of when filing for bankruptcy. A bankruptcy attorney can help you get rid of most of your unsecured, non-priority debt.
Examples of unsecured, non-priority debt include credit card charges, medical bills, personal loans, collection accounts, unpaid taxes, and civil court judgments. On the other hand, a bankruptcy attorney cannot help you get rid of unsecured, priority debt. Unsecured, priority debt includes alimony, child support, student loans, and certain taxes. Speak with an experienced bankruptcy attorney in your area to learn more about unsecured debt.
What kind of bankruptcy is right for me?
A bankruptcy attorney can also help you either get rid of or keep your secured debt and the property it is tied to. This is a debt backed by collateral that the lender c
an repossess if you stop making payments. Examples of secured debt include car loans and home mortgages. In a chapter 7 bankruptcy, you would completely eliminate the secured debt, but also forfeit rights to the property in most cases.
If you file for a chapter 13 bankruptcy instead of a chapter 7 bankruptcy, you would be able to keep your assets with the condition that you would continue repaying debt on the asset over the course of a 5 year payment plan and beyond. Speak with a qualified bankruptcy attorney in your area to help you decide whether a chapter 7 or chapter 13 bankruptcy is the right option for you.