Think Your Debt Is Spiraling Out Of Control? What To Know

Law Blog

When it comes to filing for bankruptcy, there are a lot of things that you'll want to know and things that you may not know. You want to meet with a law professional that specializes in bankruptcy cases to get to the bottom of the problem and your debt and to see what your options are. Here are some things you want to know right away, so you aren't scared, and so you can move forward with getting the financial help that you need.

You Aren't Going to Jail

Unless you have not paid your taxes, or a court-ordered payment like child support, you aren't going to go to jail for credit card debt or medical bills. Don't let a creditor tell you that you are going to jail and scare you or threaten you in other ways; call a lawyer to talk about the debts that you have and about filing for bankruptcy to eliminate them.

You Could Keep Your Home

Just because you are filing for bankruptcy doesn't mean that you will have to sell your home. Once you get the debt managed and some of it negotiated or wiped away, it will be much easier for you to keep up with the mortgage payments. If you have been making the payments on time, this will be a point that the lawyer will make to the judge and in the application with your case.

There Are Different Bankruptcy Options

There are different types of bankruptcy. The most common are Chapter 7 and Chapter 13. There are differences to each, including:

  • Chapter 7 is where your debt is eliminated and you aren't forced to pay back the debt collectors, but you often can lose assets.
  • Chapter 13 involves you setting up a plan and paying back the debts that are owed, and keeping and managing the assets you have with outstanding debts.

Your lawyer will look at your finances, the amount of debt you have, and what you can pay or not pay, and decide which is the best option for you.

If you are in financial strife and you are afraid that your debt is going to cause legal problems for you, or that you will lose everything that you have, even if it isn't a lot, talk with a lawyer at a law firm like McElrath Law to get to the bottom of your problems. This is the best way to find a resolution for your struggles.


6 February 2018

Choosing To Fight

Although I am far from perfect, I have focused on abiding by the local laws for the vast majority of my life. Unfortunately, about five years ago, I realized that I was being accused of a crime that I didn't commit. I thought about letting the trial run its course, but then I realized that fighting would be important to ensure my future. I teamed up with a great lawyer, and things became much easier overnight. My legal counsel told me what to do and what to avoid, and he was able to prove the facts in a court of law. This blog is all about choosing to fight charges.