Options To Consider For Bankruptcy Although bankruptcy filings have dropped during the last year, millions of Americans are still finding that making ends meet is more than they can bear. With the jobless statistics improving and the real estate market showing better results, there are regretably those who still struggle with the present economy and have seen their life saving diminish to nothing while still having a mountain of debt which needs to be settled. While it is a common myth that men and women who file for bankruptcy have done so because they lack the discipline to manage their finances adequately, this is not normally the case as filing for bankruptcy in Chicago does not mean a person is bad or spends excessively. In some circumstances, this might be true. Poor spending habits are linked to a portion of the population who declare bankruptcy, but the overwhelming majority of filings come from honest, responsible consumers who were just unable to weather the financial storm that hit them. Whether that storm came by way of a loss of a job, a divorce or an ailment, these people experienced a life-changing tragedy that was not their fault. Bankruptcy law does serve a purpose; it allows a person to get rid of debt they are no longer able to carry so that they have the opportunity to start clean. It is very important understand that not everyone who files for bankruptcy in Chicago will be permitted to follow it through to the end. The first step if you are thinking about filing for bankruptcy protection is to consult with a bankruptcy attorney since there are certain standards which must be met first and foremost. At first blush, filing for bankruptcy can seem a daunting task, but in actuality the process is relatively straightforward, especially if you have a qualified bankruptcy lawyer representing you. The cost for a bankruptcy attorney to file a Chapter 7 (liquidation) or Chapter 13 (repayment) is going to cost between $1,500 or more. There is always the possibility you can declare bankruptcy by yourself, however an attorney will be able to help you navigate a lot better, reducing the amount of mistakes of omitting a creditor who would still be able to go after the debt if not included in the filing. When you speak to an attorney, they will ask you to bring along with you information such as, proof of income, bank statements, recent tax filings and other important financial documents. The first step to be eligible for a liquidation bankruptcy is to pass the means test if you are employed. Your household earnings really should not be greater than the mean household income level for Chicago. If you make greater than the mean, then your option for bankruptcy filing is a Chapter 13, or a repayment of your debts rather than liquidation. Any and all money you own will become property of the bankruptcy court, regardless of which bankruptcy filing you do. An appointed court trustee will be in control of any money in checking, savings and retirement accounts whereby the funds are paid to the creditors you owe a financial debt to. When you file, all credit collection and foreclosure activity is stopped. No more annoying telephone calls should come from bill collectors. Any debt collection actions such as home foreclosure or car repossession, is ceased until your bankruptcy case is closed which usually takes about 5 to 6 months. You will attend what is called a 3-4-1 meeting or a meeting of creditors approximately thirty days Charles T. Newland & Associates
Options To Consider For Bankruptcy after you file. This meeting is with the bankruptcy trustee to review your financial declarations and to evaluate if any assets need to be sold in order to help pay your financial obligations. After the meeting is finished, the courts allow a brief window of time for any creditor to protest your bankruptcy filing and if none do, then your case is closed and most of your debts are wiped clean. Permit Charles T. Newland & Associates to guide you through the complete bankruptcy in Chicago suburbs. Take a look at http://www.cnewlandassociates.com/ to read more info about Charles T. Newland & Associates.
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Charles T. Newland & Associates
Published on Jun 23, 2014
Published on Jun 23, 2014
Permit Charles T. Newland & Associates to guide you through the complete bankruptcy in Chicago suburbs. Take a look at http://www.cnewlandas...