When you have decided that you are not able to pay your debts, it is important you look for a competent lawyer to help you explore all your options. For instance, you can become bankrupt to get rid of your debt. Bankruptcy Oakland residents should know, is not always the best option, so consumers need to consider all the available options to ensure they can make an informed decision.
One of the most common options for businesses and individual debtors is chapter 7. To qualify for this option, there is only one requirement that debtors will be required to satisfy. You must prove that you do not have a reliable income to be able to service your debts. Usually, assets belonging to the debtor are liquidated to offset their credit accounts. The liquidation is usually done through a public auction, which can be embarrassing for the debtor and their family.
Chapter is only for businesses and corporate debtors. It basically entails reorganization of business debts. The management will be tasked with creating a payment plan for their debts. A trustee will be appointed to oversee the management of the business. After a few years, the business debts of the firm will be written off. This option is instrumental in keeping businesses afloat even as they grapple with the burden of debt.
Chapter 13 is a type of bankruptcy that is meant specifically for individual debtors. This chapter entails restructuring or reorganization of personal debts to make it easier for the debtor to make payments. Usually, the debtor is required to come up with a convenient payment plan for them based on their disposable income. The repayment period will be spread out over several years, say 3-4 years. After that, any unpaid debts will be forgiven.
It is always a good idea to hire an attorney to offer advice and guidance throughout the proceedings. Your lawyer will also help you with the paperwork, which will make your work much easier. To get the best legal services, be sure to spend time comparing the reputation, experience and fees charged by different lawyers operating in the city. This will help you make a well-informed decision.
Once you have become bankrupt, you can expect a number of changes to occur in your life. For starters, you will not be able to qualify for cheap credit. You will also not be able to get a better job, rent a house or car. Your reputation may also be tainted significantly.
If you have spousal support payments, child support, overdue taxes and student loans, you should know that you cannot have these debts forgiven through bankruptcy. This is because the Bankruptcy Act does not provide for forgiveness of these debts. Be sure to keep this fact in mind when thinking about becoming bankrupt because the process will not help you if these debts account for a large portion of your bad debts.
It is important to note that a chapter 7 will lead to liquidation of assets. Your property will be sold through a public auction, so the process is also public. This means that your reputation may be tainted and your family will be embarrassed.
One of the most common options for businesses and individual debtors is chapter 7. To qualify for this option, there is only one requirement that debtors will be required to satisfy. You must prove that you do not have a reliable income to be able to service your debts. Usually, assets belonging to the debtor are liquidated to offset their credit accounts. The liquidation is usually done through a public auction, which can be embarrassing for the debtor and their family.
Chapter is only for businesses and corporate debtors. It basically entails reorganization of business debts. The management will be tasked with creating a payment plan for their debts. A trustee will be appointed to oversee the management of the business. After a few years, the business debts of the firm will be written off. This option is instrumental in keeping businesses afloat even as they grapple with the burden of debt.
Chapter 13 is a type of bankruptcy that is meant specifically for individual debtors. This chapter entails restructuring or reorganization of personal debts to make it easier for the debtor to make payments. Usually, the debtor is required to come up with a convenient payment plan for them based on their disposable income. The repayment period will be spread out over several years, say 3-4 years. After that, any unpaid debts will be forgiven.
It is always a good idea to hire an attorney to offer advice and guidance throughout the proceedings. Your lawyer will also help you with the paperwork, which will make your work much easier. To get the best legal services, be sure to spend time comparing the reputation, experience and fees charged by different lawyers operating in the city. This will help you make a well-informed decision.
Once you have become bankrupt, you can expect a number of changes to occur in your life. For starters, you will not be able to qualify for cheap credit. You will also not be able to get a better job, rent a house or car. Your reputation may also be tainted significantly.
If you have spousal support payments, child support, overdue taxes and student loans, you should know that you cannot have these debts forgiven through bankruptcy. This is because the Bankruptcy Act does not provide for forgiveness of these debts. Be sure to keep this fact in mind when thinking about becoming bankrupt because the process will not help you if these debts account for a large portion of your bad debts.
It is important to note that a chapter 7 will lead to liquidation of assets. Your property will be sold through a public auction, so the process is also public. This means that your reputation may be tainted and your family will be embarrassed.
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