We Can Discuss Your Debt Relief Options
The choice to file for bankruptcy is a difficult one. Because your financial state is so crucial, you should talk to an attorney about your debt relief options and whether bankruptcy is right for you.
Our law firm, Williams & Light, has experience guiding Virginia families and individuals through the bankruptcy process. Bankruptcy involves paperwork and careful planning, so we will help you complete everything correctly. Once we discuss your situation, we can help you begin the process and get your finances back on track.
What Are The Benefits Of Bankruptcy?
Bankruptcy once carried a negative stigma, but you should not feel ashamed of filing. You are taking initiative to rebuild your financial state, which is wise and admirable. Bankruptcy can also greatly benefit your situation.
There are two types of bankruptcy: Chapter 7 bankruptcy and Chapter 13 bankruptcy. Both types halt and prevent wage garnishments and creditor harassment. Chapter 13 also stops foreclosures.
Chapter 13 bankruptcy creates a payment plan to begin paying back your debts over the course of three to five years. In addition to creating more manageable payments, it may decrease the total amount you owe.
Chapter 7 bankruptcy may involve selling your assets to repay a percentage of your debt, but it is a fast process, usually lasting three to six months. After the process is complete, any remaining debt is completely discharged.
What Debts Can Be Discharged When You File For Bankruptcy?
A bankruptcy discharge is a legal order from the court that removes your obligation to pay most of your debts. This can include:
- Credit card debt
- Medical bills and debts
- Past-due utility bills and rent
- Personal loans from banks or lenders
Certain debts, such as mortgages or car loans, are secured. While you aren’t obligated to pay these debts if they are discharged, you might need to continue payments if you wish to retain the asset, such as your home or vehicle.
However, some debts cannot be eliminated, even if you file for bankruptcy. This includes most taxes and student loans. Certain court-ordered payments may not qualify as well, such as:
- Child support and alimony
- Court fines and criminal restitution
- Personal injury debts from DUI incidents
When filing for bankruptcy, it is essential to include all your assets and liabilities. Omitting any debts might result in them not being discharged. Engaging in dishonest behavior, such as concealing assets or providing false information, may also lead to a denial of your discharge.
Knowing these differences helps you weigh the pros and cons of bankruptcy. Our attorneys can guide you through the process and explain how bankruptcy may impact your situation.
Which Option Is Right For You?
If you are struggling with debt, our experienced lawyers are here for you. Your financial decision is ultimately yours to make. However, we can provide counsel on your options and protect your rights if you decide to file for bankruptcy.
Contact us by filling out our online form or by calling 434-483-5195. We are located in Danville and serve clients in Southside, Virginia.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.