Trying to pursue a bankruptcy or other debt relief solution without hiring a skilled bankruptcy attorney in Huntersville NC, beforehand can be a costly mistake. The process of filing for bankruptcy is lengthy and complicated. Additionally, the bankruptcy schedules and other paperwork involved can be overwhelming. An experienced bankruptcy lawyer has adequate knowledge of both the state and federal bankruptcy law. They will guide you through the entire bankruptcy process. The following are some of the essential details you should know before opting to file for bankruptcy.
Determine what type of bankruptcy is right for you
Before you file for bankruptcy, it is important you know what form of bankruptcy is right for you. For individuals, there are two major types of bankruptcies, which include the Chapter 7 bankruptcy and Chapter 13 bankruptcy. In a Chapter 7 bankruptcy, you can have some or all of your debts discharged. In this plan, the court may liquidate your property to pay your creditors. In a Chapter 13 bankruptcy, you are allowed to keep your property and pay off your debts over the next three to five years. This form of bankruptcy is a good option for individuals with a regular income. Your lawyer will help you determine what type of bankruptcy is right for you depending on your financial situation.
Make Sure You Qualify for Bankruptcy
If it is determined that you can make more than an average family in the state, you may be prevented from filing for Chapter 7 bankruptcy. Similarly, if your income is too low and your debts are too high, you may not be eligible for Chapter 13 bankruptcy.
Determine if you can avoid bankruptcy on your own
Try to determine what alternatives you may have apart from filing for bankruptcy. For example, you can consider coming up with ways to lower your interest rates, reduce your expenses, and increase your income. Your bankruptcy attorney will tell you if bankruptcy is the best option for you and if there are other options.
These are just some of the key factors you should consider before filing for bankruptcy. It is advisable you hire a qualified bankruptcy attorney in Huntersville NC, to help you evaluate your financial burden and provide the necessary legal assistance.
