A decision to declare bankruptcy should be a last resort, or, at the very least, the best one. Dealing with your financial problems can be a stressful time, and we are here to help you with dignity and respect. If you find you’re at your wit’s end, and see bankruptcy as the final solution, talk to attorney Michael J. Heath for the guidance and FREE consultation you need! Until that time, here are some relevant questions when it comes to bankruptcy and how it can affect you:
What Is Bankruptcy?
Defined simply, bankruptcy is the legal proceedings in the United States Bankruptcy Courts, pursuant to the United States Constitution, Title 11 of the U.S. Code,where someone can seek a new financial fresh start. By declaring bankruptcy, you put an official halt to most collection activity until such time as there is an official ruling concerning your financial situation.
What Can Bankruptcy Do for Me?
Declaring bankruptcy offers many advantages in the face of insurmountable debt. By declaring bankruptcy, it may bepossible for you to:
- Eliminate your legal obligation to pay many, if not all of your debts
- Stop foreclosure on your home or dwelling place, and allow you time to bring your mortgage current
- Gain more time to pay back required debts, including taxes and support obligations
- Prevent repossession of your goods and property
- Stop wage garnishment & debt harassment
- Preserve the use of utilities
- Keep or restore your driver’s license because of a civil debt
- Challenge claims of debt fraud
- And more…
What Bankruptcy DOES NOT DO:
Bankruptcy, however, is not a cure-all for every situation and you should seek an experienced bankruptcy lawyer. It is a very serious declaration and should not be taken lightly. In fact, bankruptcy MAY NOT:
- Eliminate most liens of “secured” creditors, though many times they can be reduced
- Discharge types of debts singled out by the bankruptcy law for special treatment, such as student loans and child support
- Protect cosigners on your debts from collection actions
- Discharge debts that arise after bankruptcy has been filed
What Must I Do Before Filing Bankruptcy?
There are certain steps that MUST be followed before you can file for bankruptcy. The first step we recommend is for your to meet with attorney Michael J. Heath. You must also take a “Credit Counseling Course” from an approved non-profit credit counseling agency, specifically approved by the U.S. Department of Justice’s U.S. Trustee program, specifically for those people filing bankruptcy. We will provide you with all the details during your free consultation. During the preparation process for your bankruptcy filing, in addition to meeting with the Law Office of Michael J. Heath, you should be prepared to provide the following information and/or answer some important questions in order to expedite the process:
- What does your debt look like?
- What do your assets look like?
- Are your debts secured debt?
- Are there any special circumstances that contributed to the debt?
- Is there any court or debt-related action pending against you?
- What are your goals with a bankruptcy filing?