A person can find themselves being in financial difficulty due to a divorce, death, loss of a job, illness, or because of overspending. Whatever the case may be, a Bankruptcy Attorney In Olympia WA can provide them with a variety of options to free themselves of being riddled with debt. Some individuals may be unemployed and have a lot of unsecured debt, while others may have a source of income but can’t meet the debts.
There are several types of bankruptcy an individual might be eligible to file for including Chapter 7 or Chapter 13. Each type of bankruptcy has specific criteria an individual must meet before they can file. A bankruptcy attorney can review an individual’s bills and income during a free consultation to help them determine the best type of bankruptcy to file for.
What Can Bankruptcy Do?
Bankruptcy can stop creditor harassment, lawsuits, garnishments, foreclosures, repossession, and much more. In some situations, it can help an individual retain possession of their house and car while eliminating other debt. This financial freedom can help an individual gain control of their life and keep their paycheck to live on.
Chapter 7 Bankruptcy
Chapter 7 bankruptcy is often referred to as a fresh start. With this type of bankruptcy, a trustee will be appointed to inventory an individual’s assets and sell any assets that are not exempt from the bankruptcy. Each person is granted exemptions for various items they own. A Bankruptcy Attorney In Olympia WA will recommend this type of bankruptcy for an individual who doesn’t have a regular source of income and a lot of unsecured debt like credit cards.
Chapter 13 Bankruptcy
Chapter 13 is a restructuring of an individual’s debt. Individuals who have a lot of assets and a regular source of income can use this type of bankruptcy. A repayment schedule of debt will be established for a three to five-year period. When the individual has reached the end of their payments, the rest of the debt will be forgiven.
If you’ve found yourself swimming in debt, visiting a bankruptcy attorney for a free consultation is a choice an individual should make. You will be able to keep more of your paycheck and eliminate the stress overwhelming bills have created.