Churchville, PA Bankruptcy Lawyer

Filing for bankruptcy can be embarrassing and legally complicated. It is much more than submitting a few forms, and an attorney can help you develop an effective legal strategy to help you escape your debts.

You should consider talking to a bankruptcy lawyer if you are having significant trouble repaying debts or are unable to make any payments. It is important to speak to a qualified attorney because there is more than one way to file for bankruptcy, and you need to find the best way for your situation. Most individuals filing for bankruptcy file under either chapters 7 or 13, although there are other chapters for more unique situations. You must also meet eligibility requirements for filing, which differ based on how you want to file. Although losing some assets is possible, your attorney can help you hold on to as many assets as you can.

It is normal to have some debt to pay off, but if your debt is overwhelming, you should contact our Churchville, PA bankruptcy lawyers for a free review of your case. Call Young, Marr, Mallis & Deane at (215) 701-6519.

Do I Need to File for Bankruptcy in Churchville, PA?

Filing for bankruptcy is a significant decision that should only be made with advice from a qualified lawyer. While debt can feel overwhelming, bankruptcy might only be necessary under certain circumstances. Our Churchville, PA bankruptcy lawyers can help you assess your situation and determine if you should file for bankruptcy.

One important consideration is the size of your debts. Minor credit card debt or debts you can afford to pay back each month are not usually grounds for bankruptcy. Most people that file for bankruptcy are in so much debt that their overall net worth is a negative value. Not only that, but their income might also be insufficient to make payments every month. In more severe cases, people cannot make any payments at all.

We must also consider your income. People with high debts and low or no income often need to file for bankruptcy to finally escape their debts. If you have high debts but a steadier income, a bankruptcy payment plan might be a better idea.

Possible Options for Bankruptcy in Churchville, PA

Filing for bankruptcy is not a single procedure but a multi-step process. Depending on your financial situation and unique needs, our Churchville, PA bankruptcy attorneys can help determine which bankruptcy chapter works best for you. For individuals, chapters 7 and 13 are the most common. If your situation is more unique, you should talk to our legal team about what chapter suits your needs.

Liquidation

Chapter 7 is known for liquidating. To combat your debts, you must liquidate various assets and use the proceeds to pay what you owe. Once you have paid back as much as you can, the court might discharge various other debts. When a debt is discharged, the debtor is no longer personally liable for the debt, and creditors or collectors cannot demand payment. However, if a debt is secured, such as with a lien on certain assets, the debt must either be repaid or the asset liquidated.

Chapter 7 is often best for people with little income who cannot make monthly payments. The good news is that people who file for chapter 7 bankruptcy often see the matter settled within a few months. Unfortunately, it is possible that you could lose important assets, like your home or car. Chapter 7 is usually a good idea for those with low income and few assets, such as renters rather than homeowners.

Reorganization

Chapter 13, another popular bankruptcy choice for individuals, focus more on reorganizing your debts and paying them off over time. Under chapter 13, you and our Churchville, PA bankruptcy attorney must devise a payment plan for your various debts. A court must approve the plan, and creditors are usually given an opportunity to object to the plan. Once approved, you must spend some time paying down your debts in accordance with the court-approved plan. What is great about chapter 13 bankruptcy is that people often do not lose any important assets. The downside is that people often spend years on their payment plans before any other debts can be discharged.

Chapter 13 bankruptcy is usually a better choice for people with more assets they do not want to lose. For example, if you own a home, vehicle, or other properties, you do not want to have them liquidated to pay off debts. Additionally, this plan works better for people with a steadier income, as you need to be able to afford the monthly payments under the payment plan.

Will I Lose Assets if I File for Bankruptcy in Churchville, PA?

The unfortunate reality of bankruptcy is that important assets might be at risk. Your home, vehicle, and other assets or properties might be liquidated or turned over to creditors to cover your debts. If you are okay with letting go of certain assets, it might be wise to liquidate them and get rid of those debts. If you want to keep certain assets, you should speak to our Churchville, PA bankruptcy lawyers about how to file for bankruptcy without losing property.

As discussed above, certain debts might be secured with a lien on your property or assets. For example, if the bank puts a lien on your home, you must either repay your debt to the bank or turn over your home to make the debt go away.

If you have a steady income and can afford the monthly payments involved in a payment plan, it might be possible to avoid losing any assets. An attorney can help you handle the situation based on your debts, income, and assets.

Call Our Churchville, PA Bankruptcy Lawyers for a Free Case Evaluation

Coming to terms with your financial situation and filing for bankruptcy is difficult, and our Churchville, PA bankruptcy lawyers are here to help you decide the best way to handle your case. For a free case assessment, call Young, Marr, Mallis & Deane at (215) 701-6519.