Achieve financial relief with the help of our bankruptcy lawyers
When faced with overwhelming financial struggles, determining the right time to file for bankruptcy becomes crucial. In Wheeling, WV, individuals can rely on the reputable law firm of Thomas E. McIntire & Associates, L.C.
Our experienced team possesses knowledge of Chapter 7 and Chapter 13 bankruptcies. We understand the complexities of the bankruptcy process, including the requirements and intricacies involved in these filings.
We aim to simplify the explanation of these processes, ensuring a clear understanding of how bankruptcy functions. We also emphasize the importance of seeking guidance from our attorneys throughout your bankruptcy journey. Contact our skilled lawyers today to learn how and when to file for bankruptcy in Wheeling, WV.
What are Chapters 7 and 13 Bankruptcies?
Chapter 7 bankruptcy, commonly known as “liquidation bankruptcy,” presents an opportunity for individuals to alleviate the burden of most unsecured debts through a court-approved process. That entails the sale of assets that are not exempt, allowing for the repayment of creditors.
On the other hand, Chapter 13 bankruptcy, known as ‘reorganization bankruptcy,’ offers a viable solution to those with steady incomes, presenting a repayment plan. Under this plan, debtors can propose a structured method to reimburse creditors over three to five years, aligning with their financial situation and expenses. What makes Chapter 13 particularly attractive is the ability for debtors to retain ownership of their assets while they strive towards attaining financial stability.
These two bankruptcy types bring distinct and tailored approaches to debt relief, which considers individuals’ unique financial circumstances. While Chapter 7 involves a liquidation process, Chapter 13 allows for a more organized and structured path to gradually repay debts, empowering individuals to regain control of their financial future. At the heart of both options lies the aspiration to provide individuals with a fresh start, paving the way for a more stable and secure financial foundation.
What are My Possible Reasons to File a Bankruptcy?
Since we know now that bankruptcy can help people reclaim their financial stability, we list below the reasons when to file for bankruptcy.
You are unable to make your monthly debt payments.
When you reach a point where you can’t fulfill your monthly debt commitments, like credit card bills and personal loans, it becomes evident that bankruptcy might be a viable solution. Bankruptcy lets individuals start anew by eliminating or reorganizing your debts, depending on your chosen bankruptcy chapter.
You are behind on your mortgage or rent payment.
If you fall behind on your mortgage or rent, you risk losing your home due to foreclosure or eviction. However, filing for bankruptcy, particularly under Chapter 13, can provide a temporary solution by pausing these processes and allowing you to create a plan to catch up on missed payments and keep your home.
You are facing foreclosure or eviction.
If you’re currently facing foreclosure or eviction, filing for bankruptcy can trigger an automatic stay, temporarily stopping these legal actions. This pause in proceedings lets you consider other options, discuss with your creditors, or develop a repayment strategy through Chapter 13 bankruptcy.
You have been sued by creditors.
When creditors take legal action against you, it can culminate in a court judgment that may lead to wage garnishment or asset seizure. Filing for bankruptcy can stop these legal actions and provide a means to either eliminate or restructure the debts you owe.
Your wages are being garnished.
Wage garnishment happens when a part of your earnings is withheld to settle debts. Filing for bankruptcy can stop wage garnishment, providing relief and enabling you to regain financial control.
You have filed for bankruptcy in the past and are still struggling with debt.
If you’ve previously filed for bankruptcy but continue to experience financial difficulties, you might be questioning the possibility of filing again. Whether you can file for bankruptcy again and when you can do so depends on the type of bankruptcy you filed previously and the one you are considering now.
You have medical debt that you cannot afford to pay.
Medical expenses can swiftly accumulate and become burdensome, particularly those without adequate insurance coverage. Bankruptcy can be a means to eliminate medical debt, offering relief from the financial strain caused by these bills.
What is Not Covered by Bankruptcy?
While filing for bankruptcy can provide relief from overwhelming debts and a fresh start, knowing its limitations is essential. Here are some things that bankruptcy cannot do:
- Eliminate Certain Debts: Although bankruptcy discharges many debts like credit cards and medical bills, some obligations, such as student loans, child support, alimony, and most tax debts, generally cannot be erased through bankruptcy.
- Stop Secured Creditors: If you have secured debts like a mortgage or car loan, bankruptcy may not prevent the lender from returning the collateral if you can’t make payments. However, bankruptcy can help you negotiate with secured creditors to keep the collateral by catching up on payments or restructuring the debt.
- Remove Recent Debts: Debts incurred shortly before bankruptcy, known as ‘luxury debts,’ may not be discharged if the court finds they were incurred to defraud creditors.
- Restore Credit Instantly: Bankruptcy affects your credit score. It stays on your credit report for years, making it challenging to obtain credit or favorable loan terms immediately after filing.
- Address Future Debts: Bankruptcy deals with existing debts but doesn’t protect against future debts. Develop healthy financial habits and budgeting skills to avoid similar debt situations in the future.
Remember, consulting our experienced bankruptcy attorney is crucial to understanding the specific limitations of bankruptcy in your case.
Will Legal Assistance Ensure that I Pick the Right Bankruptcy Chapter?
The challenges of bankruptcy make it strongly recommended to seek guidance from our experienced attorneys at Thomas E. McIntire & Associates, L.C. Here are several reasons why our legal assistance is needed:
- Knowledge in Navigating the Legal System: Bankruptcy law can be complex, which may overwhelm someone who needs legal experience. Our experienced attorney can provide a clear roadmap, ensuring all legal requirements and deadlines are followed.
- Tailored Advice: Our lawyer can assess your case, offer advice, know when to file bankruptcy, and determine if it is the best choice.
- Protection of Assets: Knowing the exemptions and protections available in bankruptcy law is crucial. Our attorneys can safeguard your assets by using their law knowledge to ensure you keep what rightfully belongs to you.
- Negotiation with Creditors: Our skilled lawyers can negotiate with creditors to reduce or eliminate certain debts, lightening the burden on the debtor.
- Peace of Mind: Filing for bankruptcy can be emotionally challenging. Having a legal professional by your side brings reassurance, reduces stress, and allows you to focus on rebuilding your financial future.
Let Our Experienced Attorneys Assist You When to File For Bankruptcy in Wheeling, WV, Now!
Understanding when to file bankruptcy is a choice that requires careful consideration. By grasping the distinctions between Chapter 7 and Chapter 13 bankruptcy and seeking help from our competent attorneys at Thomas E. McIntire & Associates, L.C., individuals in Wheeling, WV, can confidently navigate the intricate process.
Our lawyers possess the skills and experience to assess eligibility, create repayment plans, and safeguard assets, guiding clients toward financial stability. Remember, you don’t have to face these challenges alone – our free debt analysis is just a phone call away.