Castroville Chapter 7 Bankruptcy Lawyers

Castroville Chapter 7 Bankruptcy Lawyers

Chapter 7 bankruptcy is an important tool for debt relief. It is not the only option, so it is important to consult with an attorney about all your options to find the one that is best suited to your unique circumstances. Our Castroville Chapter 7 bankruptcy lawyers are here to answer all your questions about debt relief.

What is Bankruptcy?

Bankruptcy is a legal process by which you can get rid of your debt. If you qualify and successfully complete the bankruptcy case, your debt is discharged. This means that creditors can no longer attempt to collect the debt from you. Bankruptcy can be a long and painful process. It also appears on your credit report for years, so it can affect your ability to qualify for financing or mortgages in the future. But bankruptcy is also an important debt relief tool that can give you a fresh start. Without your debt hanging over you, you are better able to start over and rebuild your credit again. 

What Are the Different Types of Bankruptcy? 

There are different chapters in the bankruptcy code that provide for different types of bankruptcy. For example, Chapter 11 bankruptcies are often used by corporations to restructure and discharge their debts. Chapter 12 bankruptcies apply to family farmers and fishermen. But the two most common types of bankruptcies for personal debt are Chapter 7 and Chapter 13. 

Chapter 7 is more popular than other types of consumer bankruptcy because it does not require a repayment plan. Chapter 7 bankruptcies apply when your income is below the California median or your income is not sufficient to cover your expenses. If your income qualifies you for a Chapter 7 bankruptcy, your debt can be discharged without making any payments. You should discuss a possible Chapter 7 case with a lawyer who can assess your qualifications. 

How Do I Know If a Chapter 7 Bankruptcy Is Right For Me?

Your attorney will evaluate many factors when helping you decide whether you should file a Chapter 7 case. Such factors include:

• Your household income
• The nature of your past-due debts
• Your property and assets

It is important to assess your property and assets, as some Chapter 7 filers must give up property in exchange for the discharge of their debts. An experienced lawyer can apply all possible exemptions under the law to protect as much property as possible. While some people might lose too much property, this is not the most common outcome. In fact, some people lose nothing at all in exchange for receiving a clean debt slate. This is something you should always discuss with a legal professional.

Experienced Castroville Chapter 7 Bankruptcy Lawyers For All Your Financial Questions

The experienced bankruptcy attorneys at Miranda, Magden & Miranda have years of experience helping clients who are struggling with debt. We find options for debt relief through Chapter 7 bankruptcy in even the most complicated financial circumstances. Contact us today to schedule a consultation. We can help you get back on your financial footing.