Accumulating unmanageable levels of bad debt takes time. You only need to charge your credit card a few times, get car financing, buy a big house and fail to make your monthly payments. It is usually the lack of financial discipline that forces people into bad debt. However, loss of a job, temporary or permanent disability and change of circumstances can also be blamed for the problem. Fortunately, you can hire a Michigan bankruptcy attorney to help you out when you are unable to meet your debt obligations.
Debtors have access to three bankruptcy chapters. However, the most popular is chapter 7 because anyone can qualify for this chapter, which calls for liquidation of assets. The second most popular option is chapter 13 because individual debtors with reliable income sources can apply to become bankrupt under this option. The other option is chapter 11, which is similar to chapter 13 except for the fact that it is meant for businesses and corporates.
All the different types of bankruptcies have pros and cons that consumers should be familiar with before they apply to become bankrupt. The ideal lawyer is able to advice clients properly on the reasons for as well as the reasons against becoming bankrupt. This information will enable the consumer to make a well-informed decision.
In a chapter 13, the debtor is required to make a repayment plan to offset their debts. If accepted by the court, the debtor only needs to make monthly payments throughout the bankruptcy period to offset their debts. All unpaid debts after the bankruptcy period lapses are written off and no assets are sold. This is the main benefit of this chapter.
In a chapter 11, the management of the business or organization need to come up with a plan to repay the debt with convenient monthly payments. Once the repayment period lapses, all unpaid debts will be written off. This means that the business will be able to get a fresh start and start rebuilding their brand free of bad debts.
There are some debts that consumers should know cannot be written off simply because they have become bankrupt. For instance, the only way your child and spousal support obligations can be amended is through an amendment to your divorce settlement agreement. Student loans, on the other hand, can only be written of when the borrower passes away before settling their debts.
When looking for an attorney to hire, there is one important thing that you should pay attention to - experience. The years of experience of the attorney as well as the number of cases handled should be checked. Be sure to also check the number of similar cases the lawyer has handled in the recent years.
When you have financial problems, it is important you shop around for the most affordable products and services. Therefore, you should compare quotes provided by different lawyers to identify the most affordable lawyer. However, you should also check the success rate of the lawyer as well as the quality of service they normally offer before making a decision.
Debtors have access to three bankruptcy chapters. However, the most popular is chapter 7 because anyone can qualify for this chapter, which calls for liquidation of assets. The second most popular option is chapter 13 because individual debtors with reliable income sources can apply to become bankrupt under this option. The other option is chapter 11, which is similar to chapter 13 except for the fact that it is meant for businesses and corporates.
All the different types of bankruptcies have pros and cons that consumers should be familiar with before they apply to become bankrupt. The ideal lawyer is able to advice clients properly on the reasons for as well as the reasons against becoming bankrupt. This information will enable the consumer to make a well-informed decision.
In a chapter 13, the debtor is required to make a repayment plan to offset their debts. If accepted by the court, the debtor only needs to make monthly payments throughout the bankruptcy period to offset their debts. All unpaid debts after the bankruptcy period lapses are written off and no assets are sold. This is the main benefit of this chapter.
In a chapter 11, the management of the business or organization need to come up with a plan to repay the debt with convenient monthly payments. Once the repayment period lapses, all unpaid debts will be written off. This means that the business will be able to get a fresh start and start rebuilding their brand free of bad debts.
There are some debts that consumers should know cannot be written off simply because they have become bankrupt. For instance, the only way your child and spousal support obligations can be amended is through an amendment to your divorce settlement agreement. Student loans, on the other hand, can only be written of when the borrower passes away before settling their debts.
When looking for an attorney to hire, there is one important thing that you should pay attention to - experience. The years of experience of the attorney as well as the number of cases handled should be checked. Be sure to also check the number of similar cases the lawyer has handled in the recent years.
When you have financial problems, it is important you shop around for the most affordable products and services. Therefore, you should compare quotes provided by different lawyers to identify the most affordable lawyer. However, you should also check the success rate of the lawyer as well as the quality of service they normally offer before making a decision.
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Find a summary of the benefits of consulting a Michigan bankruptcy attorney and more info about an experienced lawyer at http://www.hashleylawplc.com right now.
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