Defining Real Options With A Debt Relief Lawyer
Debt relief solutions are vital for consumers who are facing excessive debt. These opportunities could consist of different chapters of bankruptcy and strategies taken by attorneys. A debt relief lawyer presents these opportunities to consumers after a thorough assessment of their debts.
How Can Chapter 7 Help?
Chapter 7 gives consumers the opportunity to sell off property and assets to settle debts. The court manages the entire liquidation process. They assign a trustee that places these items on the market and manages each sale. They distribute the funds to each creditor to settle the debts.
The entire process lasts no longer than six months. The consumer receives an automatic stay for the duration of their bankruptcy. It also gives them the chance to settle their debts in a shorter amount of time. If the consumer possesses enough assets, they could settle all their debts by the completion of their case.
Is Chapter 13 the Best Opportunity?
Chapter 13 is a chance to restructure their payments to their creditors. The plan distributes funds to the creditors based on the schedule created. The consumer must follow this plan exactly as directed by the court. This option gives them up to five years to settle their debts.
What Can Consumers Expect During Bankruptcy?
During a bankruptcy case, the consumer faces certain restrictions. They cannot open any new accounts based on credit. This includes loans, credit cards, and any installment opportunities. They must use any expendable income to sell debts that they didn’t include in their claim.
If they choose chapter 13, they must submit payments to the court according to their plan. Any late or overdue balances could lead to a discharge of the case. If the case is discharged, the consumer is responsible for all debts immediately.
Consumers meet with attorneys to evaluate their opportunities for settling their debts. Among the most promising options are chapter 7 and 13 bankruptcies. These opportunities allow the court to help consumers manage their debts and pay them off over time. Consumers who are ready to evaluate their choices should contact a debt relief lawyer or visit Stlbankruptcyfirm.com for further information.
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