Debts are treated differently when filing for bankruptcy. This is a fact that you need to know before you start the filing process. Even through a successful case will leave you with the promise of being able to start afresh financially, this does not mean that you will get off the loop when it comes to settling certain debts. If you want to file for bankruptcy Santa Cruz could offer you a decent number of reliable attorneys who could lend a hand.
The courts handle debts depending on whether they are secured, unsecured or priority claims. You want to understand the various kinds of creditor claims for you to know what to expect during the process. A reliable attorney can also shed more light on any topics that you do not fully understand.
Secured claims have liens against certain assets. Among the most common types of secured debts are car loans, property taxes and mortgages. If you successfully file for a case, the courts could relieve you all legal responsibility associated with a secured debt. However, if the debt in question is not settled, the creditor will also be legally allowed to repossess the particular asset.
Unsecured claims refer to debts that do not have a lien placed against a property. Such loans include medical bills, credit card bills, student loans and personal loans just to mention a few. Fortunately, such debts can be eliminated during bankruptcy proceedings. Even so, you will first need to prove to the courts that getting these debts settled would cause extreme hardship. It is also important to know that unsecured debts cannot be discharged when filing under Chapter 13 or Chapter 7.
Priority claims also fall under unsecured debts, the only difference being that they cannot be discharged. Examples of such debts include child support, tax obligations and alimony just to mention a few. The laws make it clear that these debts have to be settled way before you give a dime to any creditor. The good news is that you can include priority claims in your repayment plan if you file for Chapter 13 bankruptcy.
Getting declared bankrupt will not happen overnight. Then again each chapter comes with a special set of complexities that may make it challenging for one to file a successful case. If getting declared bankrupt is really important to you, then you must not underestimate the importance of working with an experienced attorney.
There are numerous chapters under which you can file a case. Even though most people know about chapter 7 and chapter 13, you can also file under chapter 11, 9 or 12. Your lawyer will look into the special circumstances revolving around your case and inform you about the clauses that could work to your advantage.
Finding a professional who can help you get declared bankrupt will not be easy. You want to do some sleuthing around and depend on online resources as well as word of mouth. Before choosing the attorney to hire, look into his or her track record. It is in your best interests to work with a specialist that you can trust entirely.
The courts handle debts depending on whether they are secured, unsecured or priority claims. You want to understand the various kinds of creditor claims for you to know what to expect during the process. A reliable attorney can also shed more light on any topics that you do not fully understand.
Secured claims have liens against certain assets. Among the most common types of secured debts are car loans, property taxes and mortgages. If you successfully file for a case, the courts could relieve you all legal responsibility associated with a secured debt. However, if the debt in question is not settled, the creditor will also be legally allowed to repossess the particular asset.
Unsecured claims refer to debts that do not have a lien placed against a property. Such loans include medical bills, credit card bills, student loans and personal loans just to mention a few. Fortunately, such debts can be eliminated during bankruptcy proceedings. Even so, you will first need to prove to the courts that getting these debts settled would cause extreme hardship. It is also important to know that unsecured debts cannot be discharged when filing under Chapter 13 or Chapter 7.
Priority claims also fall under unsecured debts, the only difference being that they cannot be discharged. Examples of such debts include child support, tax obligations and alimony just to mention a few. The laws make it clear that these debts have to be settled way before you give a dime to any creditor. The good news is that you can include priority claims in your repayment plan if you file for Chapter 13 bankruptcy.
Getting declared bankrupt will not happen overnight. Then again each chapter comes with a special set of complexities that may make it challenging for one to file a successful case. If getting declared bankrupt is really important to you, then you must not underestimate the importance of working with an experienced attorney.
There are numerous chapters under which you can file a case. Even though most people know about chapter 7 and chapter 13, you can also file under chapter 11, 9 or 12. Your lawyer will look into the special circumstances revolving around your case and inform you about the clauses that could work to your advantage.
Finding a professional who can help you get declared bankrupt will not be easy. You want to do some sleuthing around and depend on online resources as well as word of mouth. Before choosing the attorney to hire, look into his or her track record. It is in your best interests to work with a specialist that you can trust entirely.
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Get an overview of the factors to keep in mind when choosing a bankruptcy Santa Cruz attorney and more information about an experienced lawyer at http://www.centralcoastbankruptcy.com now.
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