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Category Archives: Bankruptcy

Paying Bills After Filing for Bankruptcy

There are a number of things that are important to understand about paying bills after filing for bankruptcy. Here are a few quick things you need to know:

  • Not all debts are discharged (erased) in bankruptcy. You must pay back nondischargeable debts after your bankruptcy case is over.
  • As soon as you file for bankruptcy, all collection action must stop. This means that your creditors will stop sending you bills and monthly statements. If you plan to keep your house or car, you need to continue making the monthly payments during and after bankruptcy.
  • If you file for Chapter 13, certain of your debts will be paid within the plan and certain other debts must be paid outside of the plan, directly to the creditor. For example, your mortgage, rent, and car payments are typically paid outside of the plan as they become due each month. While typically mortgage arrears and missed car payments from before you filed are paid within the plan.
  • Liens survive bankruptcy, unless there is a court order stating otherwise. This means if you want to keep your house or car, you must continue to make the on-time monthly payments during and after bankruptcy to avoid foreclosure or repossession.

 

Paying Back Nondischargeable Debts

Not all debts are treated the same under bankruptcy law. Certain debts are “nondischargeable,” meaning they cannot be erased through bankruptcy. Even after a successful bankruptcy you remain legally obligated to pay back your nondischargeable debts. Common nondischargeable debts include back spousal or child support payments, student loans, and recent tax obligations.

Depending on the facts of your case, you may have other nondischargeable debts. Make sure you know which of your debts are dischargeable and which are nondischargeable. If you have questions, talk to your bankruptcy attorney.

Paying Monthly Bills Even If You Do Not Receive a Statement

Once you file for bankruptcy it is likely that you will not receive monthly statements, even from the secured creditors you plan to continue to pay.

Your bankruptcy discharge order will erase your personal liability for dischargeable debts, but it will not erase any lien associated with the debt.

  • This means that after bankruptcy you will not be personally liable to pay back your mortgage, but the lien will still be attached to the house, so if you do not pay your mortgage the lender retains the right to foreclose on the property.
  • After bankruptcy you will not be personally liable to pay back a car loan (unless you sign a Reaffirmation Agreement), but the car will still have a lien, so if you do not make your car payment the lender has the right to repossess the vehicle.

 

If you want to keep your home or car, you must make your monthly payments even if you are not receiving monthly statements. After you file for bankruptcy your bank will likely terminate automatic payment arrangements and possibly access to online banking.

It will be up to you to pay the correct amount each month, keep a record of having paid, and  monitor your accounts to make sure the debt is getting paid, and the lender is properly applying your payments to your account.

Know What Debts Are Being Paid By Your Chapter 13 Plan Payments and Which Are Not

As we mentioned above, certain of your debts will be paid within your plan and other debts you are responsible for paying directly to the creditor each month.

Read and understand your Chapter 13 bankruptcy plan.

Generally speaking, mortgage arrears or missed car payments from before your bankruptcy case was filed will be paid within the plan. You will send a monthly plan payment to the trustee each month, and he or she will pay your creditors who are to be paid within the plan.

Monthly mortgage and car payments that become due each month are typically paid outside of the plan. Most Chapter 13 debtors pay their monthly mortgage and car payments directly to the lenders during bankruptcy. Even if you are not receiving monthly statements, do not assume that the debt is being taken care of or that you do not have to pay it. If you want to retain your house or car, you must make the monthly payments.

A caveat to this is that if your Chapter 13 bankruptcy provides for a lien strip of an underwater second mortgage then you do not have to pay the monthly payments on your second mortgage.

Understand that every bankruptcy case is different. Speak with your bankruptcy attorney to understand which of your debts are being paid by the plan and which are not.

Schedule a Free Consultation

If you are exploring how bankruptcy can help you get out of debt, we invite you to meet with us for a free consultationcontact us on the web or call (912) 351-9000 today!

We are the premiere bankruptcy law firm in Savannah, Georgia. The Law Office of Barbara B. Braziel proudly serves the people of Savannah, GA and the surrounding areas, including Richmond Hill, Hinesville, Pooler, Port Wentworth, Tybee Island, Clyo, Ellabel, Midway, Ludowici, Springfield, Pembroke, Brooklet, and Garden City.

 

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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How Can I Find A Good Bankruptcy Attorney?

Filing for bankruptcy is a serious financial decision―and it may be the best decision for you. If you’re exploring if bankruptcy is the right solution to handle your debt problems, then you will want to hire a good bankruptcy attorney to guide you through the process.

Bankruptcy is a specialized and intricate area of law. It is important that your case is complete, accurate, and properly filed from the start. Working with an experienced bankruptcy attorney who understands the ins and outs of bankruptcy law helps ensure that your case sails smoothly to discharge (meaning your debts that can be erased, are erased).

How Can I Find A Good Bankruptcy Attorney?

The following tips can help you find and vet the right bankruptcy attorney for you. Hiring the right attorney can make your bankruptcy case a smooth process. And hiring the wrong attorney can be expensive―because it can be costly and difficult to fix mistakes after a bankruptcy case is filed.

Experience. In general, the best bankruptcy attorneys are bankruptcy attorneys. Consider that an attorney who has been practicing law for 20 years and files a few bankruptcy cases here and there may not be as experienced as an attorney who has been practicing for 10 years exclusively in bankruptcy law, filing cases day after day.

The Law Offices of Barbara B. Braziel practices exclusively in bankruptcy law. We’ve been helping people get out of debt by filing for bankruptcy protection for over 35 years.

Research. Research any attorney or law firm you’re considering. Certainly look to see if the attorney dabbles in bankruptcy or practices exclusively in bankruptcy law. Also, take the time to research the attorney’s reputation in the community and what educational seminars they attend.

A simple Google search may yield a lot of information about an attorney. You can also look them up on your state’s bar website, or look up reviews from previous clients.

Specific Advice. A good attorney will listen to you, ask questions, and take the time to thoroughly understand your situation before giving you any legal advice.  A good bankruptcy attorney will first consider your unique facts and only then give you specific advice on the potential benefits and drawbacks of you filing for bankruptcy.

Many bankruptcy attorneys offer free consultations. Take advantage of this no-obligation opportunity to explore if bankruptcy is the right choice for you, and to explore if the attorney is the right choice for you.

If you live in or near Savannah, GA, we invite you to meet with one of our experienced bankruptcy attorneys for a free consultation. Call (912) 351-9000 or submit your contact info here and we’ll be in touch shortly.

Confidence. When, after researching and meeting with an attorney, you feel confident in their skill and the specific advice they offered you, then they may be the right attorney for you. Trust your research, feelings, and the experience you had with that person.

We strongly encourage you to select an attorney based on the above considerations and who you trust to handle your case well, and not based solely on price. Certainly the costs and fees associated with filing for bankruptcy are a critical consideration, but it is also critical to have your bankruptcy case handled the right way from the start.

Bankruptcy is a Powerful Tool. Filing for bankruptcy protection is your legal right and offers powerful tools to help you get out of debt and get the fresh financial start you deserve.

We invite you to learn more about who we are here. We’re committed to helping people get out of debt and gain the financial freedom they deserve.

Call us today at (912) 351-9000 or contact us by filling out this simple web form to schedule a free consultation.

 

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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Boston Herald Files for Bankruptcy

The daily newspaper, the Boston Herald filed for Chapter 11 Bankruptcy on December 8, 2017. The paper, founded in 1846, cited pension liabilities, declining revenue, digital media, and growing competition as reasons for its decision to file. The Herald has debts and other financial obligations totally just over $31 million. The bulk of the financial obligations are to pensions and severance packages to employees. Its current assets total roughly $6 million in cash on hand and money it is owed.

At the time of filing, the Boston Herald employed 240 people, including 120 employees in the newsroom. It is currently continuing its day-to-day operations.

The Boston Herald is looking for a buyer. Soon after the bankruptcy filing the Boston Herald reached a tentative deal to sell itself to GateHouse Media. However, another bidder has come in with a higher offer. The Revolution Capital Group of Los Angeles filed a bid for $5.75 million to buy the Boston Herald.  Revolution is asking the federal bankruptcy court to review their offer over GateHouse Media’s initial $5 million bid. Both bidders stated they expect to keep 175 of the Herald’s 240 employees.

Any sale of the Boston Herald must be approved by the Chapter 11 Bankruptcy Trustee and the Bankruptcy Court, which is expected to set an auction date soon.

In response to the bankruptcy filing, Patrick J. Purcell, President and Publisher at Boston Herald Inc., wrote “In addition to great news and advertising coverage for our dedicated readers over the years, all I ever wanted to do was keep the Boston Herald alive,” he went on: “It is with this pending sale that I am able to do that in these difficult newspapering times. I am certain this is the best pathway forward for you and for the newspaper we have nurtured together, in my case, for the last 33 years.”

While it seems a number of the Herald’s employees will not get to keep their jobs, there is hope that the paper itself will continue under new ownership.

Are You Struggling with Debt?

If you are exploring how bankruptcy can help you get out of debt, we encourage you to seek the counsel of an experienced bankruptcy attorney.

Here at the Law Office of Barbara B. Braziel we have over 35-years of bankruptcy experience. We are the premier bankruptcy law firm in Savanna, GA and we practice exclusively in bankruptcy law.

We invite you to get to know us here and read about the clients we’ve helped here.

Call us today at (912) 351-9000 or contact us via the web to schedule a free consultation.

 

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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Is Bankruptcy a Good Idea?

There are many factors to consider when deciding if filing for bankruptcy is a good idea for you. Bankruptcy is a powerful legal tool and it may be the best option to help you deal with your debt problems. It’s important to understand what bankruptcy can accomplish and what bankruptcy cannot accomplish.

Is Bankruptcy a Good Idea? Factors to Consider…

  • Would Chapter 7 or Chapter 13 bankruptcy help you handle your debt problem?
    • Chapter 7 erases credit card debt, medical debt, and many other unsecured debts. Generally, it is the simplest and quickest form of bankruptcy. And takes roughly four to six months to complete.
    • Chapter 13 is a reorganization of debt and creates a three to five year repayment plan. When necessary, the repayment plan gives you a chance to catch up on mortgage arrears, missed car payments, back taxes, and other debts.
  • Are more of your debts “dischargeable” (can be erased) through bankruptcy? Or, are most of your debts “nondischargeable” and would still need to be paid back even if you file for bankruptcy?
  • Are you eligible for the chapter of bankruptcy you want to file? Do you qualify for bankruptcy?
  • Do you have meaningful alternatives to filing for bankruptcy? Bankruptcy is not the right solution for everyone.
  • Will you be able to keep most or all of your assets and personal belongings?
    • Bankruptcy law provides for you to keep property, assets, and other belongings valued up to a certain dollar amount through exemptions. Property that is protected in bankruptcy is known as “exempt property.” You get to keep exempt property if its value does not exceed a certain dollar amount.
    • Georgia law allows for exemption amounts for your house, automobile(s), household goods, retirement accounts, and many other belongings.
    • You can view a full list of the Georgia exemptions here.
  • Have you made recent charges or incurred new debt that may not be dischargeable in bankruptcy?
  • Is now the right time to file?

Depending on your situation, there are likely other factors to consider too! Bankruptcy is a complex area of law, but don’t let that deter you. Filing for bankruptcy protection may be a good idea for you―in fact, because it may get you out of debt, bankruptcy may be one of the best decisions you could make for your financial future.

Filing for Bankruptcy Protection

If you are exploring how bankruptcy can help you get out of debt, we encourage you to seek the counsel of an experienced bankruptcy attorney.

Here at the Law Office of Barbara B. Braziel we have over 35 years of bankruptcy experience. We are the premier bankruptcy law firm in Savanna, GA and we practice exclusively in bankruptcy law. We invite you to get to know us here and read about the clients we’ve helped here.

Call us today at (912) 351-9000 or contact us via the web to schedule a free consultation.

 

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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Thinking About Consolidating Your Credit Card Debt? What You Need to Know.

Trying to manage credit card debt is tough. The fact is that if you’re carrying credit card debt forward each month then you are likely to pay hundreds, even thousands of dollars in interest charges over time.

If you are in a position to pay down your credit card debt, start now. If you are only able to make the minimum monthly payments, or no payments at all, we encourage you to explore all of your options on getting your credit card debt under control.

Thinking about consolidating your credit card debt? Here’s what you need to know.

  • Consolidating your credit card debt means taking out a new loan. Your current credit card bills with be paid off by the new loan and you will be responsible for paying one monthly payment.
    • Make sure you can afford the new loan payments.
    • Make sure the interest rate on the new loan and other lending terms are more favorable than the terms of your current credit card debt.
  • If you consolidate your credit card debt and then continue to make purchases on your cards, then you are going deeper into debt. In this scenario, you are unlikely to succeed in paying down your debt.
  • Keep an eye out for promotional interest rates that only last for a short period of time. In some cases if you do not pay off the balance of the loan prior to the promotional rate expiring, you will have to pay the new, higher interest on the whole amount. Read the fine print.
  • Take the time to shop around and compare loan terms and interest rates. You want to know how much you will pay in interest and fees over the life of the loan.

 

Credit Card Balance Transfers

Many credit cards offer a zero-percent or low-interest balance transfer for a period of time. You may be thinking about transferring some or all of your credit card debt to another card offering this incentive. It is important to know how long the promotional interest rate applies. After the promotional period expires the interest rate may be quite high and your monthly payment may increase.

If you choose to do a balance transfer, avoid making new charges to that credit card until the balance transfer is paid off in full. This helps ensure you will pay off the balance and not get hit with additional interest charges.

Make paying down your credit cards a priority.

Not all debt is created equally. For example, paying a mortgage over 30 years is generally considered a wise investment. Paying on a credit card for years is not a wise financial move.

Consider this: If you owe $4,717 on a credit card with a 15 % interest rate and make only the minimum monthly payment of $189, it will take you 10 years to pay off the debt and your total repayment amount will be $22,896.

Make paying off your credit cards a priority.

Follow us on Facebook for tips on money management and getting out of debt!

If you’re deep in credit card debt that you cannot pay off.

If you are struggling to make ends meet, and you simply do not have enough income to reasonably pay down your credit card debt, then bankruptcy might be the debt relief solution for you.

All of us at the Law Office of Barbara B. Braziel are here to help you end your financial struggle and gain financial freedom. We offer free consultations. Contact us at (912) 351-9000 today!

 

We proudly serve the people of Savannah, GA and the surrounding areas, including Richmond Hill, Hinesville, Pooler, Port Wentworth, Tybee Island, Clyo, Ellabel, Midway, Ludowici, Springfield, Pembroke, Brooklet, and Garden City.

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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An Overview of Debt Relief Options

When your mailbox is stuffed with overdue bills and your phone is ringing nonstop with debt collectors demanding payment, it can suck much of the joy out of life. Being buried in debt is hard. It’s scary and stressful. It may keep you up at night with worry. It may stress you out so much that you feel debilitated and try to ignore the issue.

But when you’re deep in debt the best thing you can do is face your problem head-on. A debt problem ignored will only get worse.

An Overview of Debt Relief Options

There are a number of debt relief options available. We encourage you to explore each one and choose the one that is feasible and best for you. Remember that a true debt relief solution addresses your entire debt problem, not just a portion of it. And the debt relief option best for you is reasonable and doable.

  • Paying Off Your Debt
  • Debt Settlement
  • Debt Consolidation – Taking Out a Loan
  • Debt Consolidation – Hiring a Debt Consolidation Company
  • Bankruptcy

Paying Off Your Debt

If you have adequate income and can stick to a budget tailored to quickly and reasonably paying off your debt, then this is an excellent solution to your debt problem. So long as you can reasonably afford to pay back your debt within three years, then paying it off is likely your best option. However, if paying off your debt means struggling to pay for living necessities like rent or food, paying high interest on debts for many years, and paying off debt in lieu of having an emergency savings fund―that is not reasonably paying off your debt and we encourage you to explore your other debt relief options.

Debt Settlement

Debt settlement is settling your debts for less than the full amount owed.

This option most often requires a large sum of cash. Typically a debt settlement requires that the agreed upon amount be paid in full within a few days or weeks. Consider too if this option will address the entirety of your debt problem. Settling one or two debts of many does not address your entire debt problem. Further, debt settlement comes with potential tax consequences because “forgiven debt” is considered income by the IRS.

Debt Consolidation – Taking Out A Loan

The loan is used to pay off creditors. Then one payment is due on the loan each month.

If you can get a loan with an interest rate more favorable than your current debts, you can afford the monthly payment, and you can pay the loan back in a reasonable amount of time, then a debt consolidation loan may be a viable solution to your debt problems.

However, this option comes with a host of things that can go wrong. We caution you to carefully consider if taking out a new loan is in your best financial interests.

Debt Consolidation – Hiring a Debt Consolidation Company

A debt consolidation company will collect a monthly fee from you and attempt to make settlement deals with your creditors. Generally, these companies are paid by taking a percentage of your monthly payment off the top. They keep the rest of the funds until there is enough in the pot to make a lump sum payment on a settlement deal, one creditor at a time.

Honestly, what we typically see at our firm is that people make their monthly payment to the debt consolidation company, but ultimately none or only a few of their smaller debts get settled. Leaving them out all of the money paid to the debt consolidation company, and ultimately filing for bankruptcy anyway.

Filing for Bankruptcy

Filing for bankruptcy is a legal right that helps people erase debts and/or repay their debts over time. Bankruptcy can erase credit card debt, medical bills, and other unsecured debts. It can give you true relief from your debts and the fresh financial start you need.

Also, when you file for bankruptcy, all collection action against you must stop. It is illegal for creditors to attempt to collect from you after you’ve file for bankruptcy protection. This means collection calls stop, wage garnishments end, and lawsuits are halted.

Know that we are not in the business of talking people into bankruptcies they don’t need. We are in the business of helping people get out of debt and getting the fresh financial start they deserve. When you are deep in debt and considering solutions, you should explore all of your debt relief options. The best option for you and your family will depend on your specific situation.

The truth is bankruptcy is often the best debt relief option because the other options are simply not feasible or would take so many years to execute that they are economically damaging and would keep a person deep in debt for many years to come.

To further explore if bankruptcy is the right solution for you, read our articles:

How Can Bankruptcy Help Me?

We’re committed to helping people get out of debt and gain the financial freedom they deserve. We invite you to learn more about who we are here. If you live in Savannah, GA or the surrounding areas and have questions about your debt relief options, let’s meet for a free consultation.

Please reach out to us at (912) 351-9000 or contact us by filling out this simple web form. Follow us on Facebook for tips on getting out of debt!

 

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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Savannah Bankruptcy Attorney

If you are exploring how bankruptcy can help you get out of debt, we invite you to meet with us for a free consultationcontact us on the web or call (912) 351-9000 today!

We are the premiere bankruptcy law firm in Savannah, Georgia. The Law Office of Barbara B. Braziel proudly serves the people of Savannah, GA and the surrounding areas, including Richmond Hill, Hinesville, Pooler, Port Wentworth, Tybee Island, Clyo, Ellabel, Midway, Ludowici, Springfield, Pembroke, Brooklet, and Garden City.

Relief from Your Financial Burdens

Bankruptcy is a powerful tool that can erase your debts. While choosing to file may be a difficult decision, it may be the best decision for your financial future.

We have been practicing bankruptcy law for over 35 years and often we have met clients who delayed filing until their situation became far worse than it needed to be. In many cases people spent thousands of dollars trying to avoid a bankruptcy that they ultimately needed to file anyway.

Sadly, many of our clients lost assets that they would have been able to keep if they had filed for bankruptcy sooner. Many borrowed against retirement in an attempt to manage their debt and stave off collection. In general retirement accounts are fully protected in bankruptcy. Others took out Home Equity Lines of Credit (HELOC) to pay off some creditors and ultimately risked losing their house to foreclosure.

Powerful and Positive Impacts of Bankruptcy

Our firm has helped thousands of families keep their cars, their homes, and other belongings. Erasing debt, halting all collection action, and protecting your belongings from creditors are just a few of the powerful and positive impacts bankruptcy offers. Bankruptcy can also erase certain older tax debts, give you the opportunity to catch up on missed mortgage or car payments, and can even lien strip away an underwater second mortgage.

Savannah Bankruptcy Attorney

All of us here at the Law Offices of Barbara B. Braziel are committed to helping people get out of debt and gain the financial freedom they deserve. We invite you to learn more about who we are here. If you live in Savannah, GA or the surrounding areas and have questions about your debt relief options, let’s meet for a free consultation.

Please reach out to us at (912) 351-9000 or contact us by filling out this simple web form. Follow us on Facebook for tips on getting out of debt!

 

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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Now That You Have Decided to File for Bankruptcy Protection

Once you have made the difficult decision to file for bankruptcy, know that you are on your way to a debt-free fresh start. The bankruptcy process may not be easy, but it is worth it and many people find it isn’t as difficult as they anticipated.

Now that you have decided to file for bankruptcy protection you must:

Complete the mandatory Credit Counseling course. Credit Counseling must be completed within 180-days prior to filing for bankruptcy. When you finish the course you will receive a certificate of completion, which must be filed with the Bankruptcy Court.

The course can be completed online and is fairly straightforward, inexpensive, and not too time consuming.

Gather the necessary documents for your bankruptcy attorney. To properly prepare your bankruptcy petition your attorney will need certain documents.

Review and sign your bankruptcy petition. Prior to filing your bankruptcy petition you should review it page by page, line by line, to ensure it is thorough and accurate to the best of your knowledge. While oversights or accidental omissions may be amended later it is costly and not guaranteed. Bankruptcy petitions are filed under the penalty of perjury. It is best to file a complete and accurate petition from the start.

Once your bankruptcy case is filed with the Bankruptcy Court you must:

Attend the Meeting of Creditors. This meeting will take place about a month after your case is filed. It does not take place in a court room, there is not a judge present, and while your creditors will be notified of the hearing and have the right to attend, they rarely do. The Meeting of Creditors (also known as the 341 Hearing) will be conducted by the bankruptcy trustee assigned to your case.

When you hire us to help you erase debts through bankruptcy, it is our job to make sure you are prepared for the Meeting of Creditors. We will help you through your bankruptcy case from start to finish, and we’ll be sitting by your side at the meeting.

Complete the mandatory Debtor Education course. Debtor Education must be completed after filing for bankruptcy, but must be completed prior to receiving your bankruptcy discharge order. It is a mandatory two-hour course in personal financial management. Similarly to the Credit Counseling course, it can be completed online and over the phone and is also fairly straightforward and inexpensive.

Once your bankruptcy case is completed you can:

Live debt-free after bankruptcy. Imagine living without the stress of debt. That is life after bankruptcy. Bankruptcy gives you the opportunity to take control of your finances and make good financial decisions moving forward.

After bankruptcy you can live your life free from debilitating debt and long-term financial struggles.

Getting out of debt is possible and we can help. At the Law Office of Barbara B. Braziel we are committed to helping people get out of debt and gain the financial freedom they deserve. We invite you to learn more about who we are here. If you live in Savannah, GA or the surrounding areas and have questions about your debt relief options, let’s meet for a free consultation.

Reach out to us at (912) 351-9000 or contact us by filling out this simple web form.

 

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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How Chapter 7 Differs from Chapter 13

Chapters 7 and 13 bankruptcy are designed for individuals and families. Both chapters offer many of the same benefits. However, there are significant differences between what these two chapters offer and how they operate.

The “chapters” come from the United States Bankruptcy Code, and the numbers represent the code sections.

Overview of How Chapter 7 Differs from Chapter 13

  • Chapter 7 bankruptcy erases all or most of your debts:
    • Without a repayment plan.
    • In general allows you to keep most or all of your personal belongings.
    • Is the quickest and simplest form of bankruptcy, typically taking four to six months to complete.
  • Chapter 13 bankruptcy is a reorganization of debts:
    • Creates a three to five year repayment plan.
    • Allows you to pay back all, none, or a portion of your debts.
    • In general allows you to keep most or all of your personal belongings.
    • Is more complex than Chapter 7, but offers additional benefits.

There are benefits and drawbacks to both Chapter 7 and 13 bankruptcies. When we meet for a free consultation we will go over the pros and cons of the various chapters and help you determine which chapter is best for you. Our goal is to ensure you understand the different chapters of bankruptcy and how filing will affect you and your family.

Both Chapters Offer Many of the Same Benefits

Chapter 7 and Chapter 13 are powerful legal tools to help you regain control of your financial wellbeing. Both chapters offer the following benefits:

  • Eliminates credit card debt, medical debt, and most unsecured debts.
  • Stops harassing phone calls from creditors.
  • Stops wage garnishments.
  • Stops lawsuits filed by creditors.

Benefits of Chapter 13 Not Offered In Chapter 7

Filing for Chapter 13 commits a debtor to a monthly plan payment for three to five years. Though, for some debtors filing for Chapter 13 is the best solution to their debt problems.

Chapter 13 bankruptcy can help you:

  • Save your house by creating an opportunity for you to pay back missed mortgage payments.
  • Prevent car repossession by creating an opportunity for you to catch up on missed car payments.
  • Creates an opportunity to catch up on other missed payments, like back taxes or back spousal or child support payments.
  • In some cases, a homeowner can “lien strip” or eliminate a second mortgage.

At the conclusion of the Chapter 13 bankruptcy, any remaining credit card debt, medical bills, or other unsecured debts, and some tax debts, are discharged. To qualify for Chapter 13 you must have a steady source of income, such as from a job, self-employment, a business, retirement income, or social security.

Bankruptcy is a Powerful Tool

Both Chapter 7 and Chapter 13 are powerful tools to help you get out of debt and get the fresh financial start you deserve.

At the Law Office of Barbara B. Braziel we file hundreds of Chapter 7 and 13 bankruptcy cases every year. But our clients are never just a number. You will not be left in the hands of a paralegal. You will have access to your attorney throughout your bankruptcy case.

Call us today at (912) 351-9000 or contact us via the web to schedule a free consultation.

 

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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8 More Bankruptcy Facts

Recently we posted a list of 8 Bankruptcy Facts to help you separate bankruptcy fact from fiction and misinformation. Since the article received quite a bit of traffic, we’ve put together a list 8 More Bankruptcy Facts to further empower you to understand how bankruptcy can help you get out of debt.

  1. Bankruptcy law requires debtors to complete debt counseling courses.

Every person (with rare exception) who files for bankruptcy must complete two courses: debt counseling and debtor education. Both courses can be completed online or over the phone. Generally speaking, they are straightforward, inexpensive, and not too time consuming. These courses serve to educate people and empower them to make wise financial decisions moving forward.

  1. You cannot max out credit cards with the intention of erasing those new debts through bankruptcy.

Bankruptcy law creates a look-back period on debts incurred shortly before filing for bankruptcy. Debts you incur during the look-back period are scrutinized and may be nondischargeable, which means they would not be erased through bankruptcy.

Further, incurring debt with the intent to erase it in bankruptcy may constitute bankruptcy fraud. Debt incurred as a result of fraud is nondischargeable.

  1. You can file for bankruptcy without your spouse.

Spouses have the right to file jointly for bankruptcy and each spouse has the right to file separately without their spouse. In cases where only one spouse files for bankruptcy, careful attention must be paid to the nature of the assets. It is critical to understand what property will be treated as part of the debtor’s bankruptcy estate.

  1. Even people with high income can qualify for bankruptcy protection.

It is a common bankruptcy myth that people with high income cannot qualify for bankruptcy protection.

The fact is having a high income does not mean you cannot qualify for bankruptcy, it simply means that you have to run the means test to show that you qualify. If your income is above the median income for your state and household size, then you must run the means test to determine whether or not you qualify for Chapter 7 bankruptcy.

  1. Bankruptcy may not be the solution for your entire debt problem.

If you have nondischargeable debts, those will have to be paid back even after filing a successful bankruptcy. Further, if you have an underlying issue that caused you to become severely indebted that has not yet been resolved, then bankruptcy may not be the solution for your entire debt problem. For example, perhaps you went into debt because of a job loss and you are not yet gainfully employed.

We want our clients to enjoy the full benefits of the financial fresh start bankruptcy offers. So, it is important to address underlying issues that led to overwhelming debt prior to filing.

  1. Filing for bankruptcy is not shameful.

You do not deserve the financial and emotional stress of trying to pay back debts you cannot afford. Filing for bankruptcy is not shameful. It does not make you a bad person, and it does not mean that you’re a failure.

  1. Not everyone who files for bankruptcy is bad with managing money.

There is a common misconception that everyone who files for bankruptcy is bad with money. Often it is an unavoidable and unforeseeable situation that leads to bankruptcy. Consider too that many successful people have file for bankruptcy. If you file for bankruptcy, you’ll be in the likes of Walt Disney, Billie Joel, and Mark Twain.

There are many reasons why people file for bankruptcy. Prior to filing many people experience a job loss, divorce, death in the family, a costly medical emergency, or another unavoidable situation. The two types of debt that are most often addressed by bankruptcy are medical debts and credit card debts.

  1. Filing for bankruptcy is your legal right.

Bankruptcy laws are designed to help people, like you, eliminate overwhelming debts that one simply cannot afford to pay back. If you had the money to pay back your debts, you would. Nobody wants to file for bankruptcy. However, for many people filing for bankruptcy is a wise financial decision. And bankruptcy is your legal right. You have the right to erase your debilitating debts and have a fresh start so you can have a healthy financial future.

Free Bankruptcy Consultation

Here at the Law Office of Barbara B. Braziel we offer free consultations so that you can understand the protections and benefits of bankruptcy and how filing with affect you and your family. We take the time to explain the bankruptcy process to our clients. We invite you to get to know us here and read about the clients we’ve helped here.

Call us today at (912) 351-9000 or contact us to schedule a free consultation.

To have your questions about bankruptcy in Georgia answered, come meet with us for a free consultation. We proudly serve the people of Savanna, Chatham County, Effingham County, Bulloch County, Bryan County, Liberty County, and Long County.

We are a debt relief agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

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