Declaring bankruptcy is one of the most difficult and emotionally draining financial experiences one can endure. That’s why it’s important to fully understand the scope of specifications of your case and explore all options before filing for bankruptcy. Your bankruptcy lawyer in Owosso can help guide you through the process, and help you understand any other options that may be available to you.
Still, many people are unfamiliar with what all bankruptcy lawyers can help with. When you come to us, you can rest assured that we’ll help you understand the process and ramifications of declaring bankruptcy. Here are just a few things most people don’t know about bankruptcy lawyers.
They help you explore options
Not all bankruptcy cases or filing are the same. In fact, some chapters of bankruptcy are not helpful for your specific case. Different chapters exist for equally different circumstances. For example, Chapter 7 bankruptcy usually applies to individuals whose incomes do not meet the demands for their debt. Bluntly, they do not have the money to pay off their debts and see no other way out than to declare bankruptcy.
Chapter 13, however, usually applies as reorganization, protecting your personal property from seizure. Those who file for Chapter 13 bankruptcy follow a court-mandated repayment plan so they can pay off their debts and maintain control of their assets, like:
- Other large assets
They help you navigate all paperwork
On top of the emotional toll bankruptcy can take, the process of filing for bankruptcy can be a lengthy one. Many people who plan to file for bankruptcy incorrectly assume that it is a somewhat straightforward process—and this is virtually always far from reality.
All forms required will dive deep into your financials, with direct and specific questions. There is no way to avoid how long this process will take, and you must take the time to honestly and accurately answer these questions.
The good news is that your bankruptcy lawyer is Owosso can help you navigate the complexities of this process, and provide guidance so you can clearly understand what you are reading and what the questions require of you. Failure to provide accurate information may result in you losing your property, paying substantial fees, or even jail time.
They explain the ramifications of bankruptcy
No matter how you file for bankruptcy, it can help you pay off any debts in a way that hurts you immediately. However, it’s important to understand that declaring bankruptcy will impact your credit for years to come, no matter your standing before filing.
While each case varies, you can anticipate having an incredibly challenging time working with virtually all creditors in the first two years (or longer) from the time you file bankruptcy. Conversely, however, some creditors will want to immediately work with you due to your financial state. But be aware: many of these creditors may be predatory, and will eagerly offer you a loan with steep premiums attached.
While it may seem like an easy way to receive credit after the hardships of declaring bankruptcy, it could very well put you back into dangerous financial territory that led to your bankruptcy declaration in the first place.
Turn to James L. Gutting for bankruptcy assistance
Understanding bankruptcy law is difficult. That’s why you must work with a bankruptcy lawyer in Owosso who can ensure you’re getting the advice and guidance you need to make a sound decision and get on the road to financial recovery. Reach out to us today to learn more.