If you’re deep in debt, you may be contemplating filing for bankruptcy to fix your financial dilemma. Bankruptcy may seem like an extreme measure, but it can actually be a powerful financial tool. That is where our experienced Phoenix bankruptcy lawyers come in. They will walk you through the steps of a bankruptcy so that you can start fresh and find relief from creditors.
Biggest Fears of Filing Bankruptcy
At Lerner and Rowe Law Group, you can trust that we have the necessary experience to help get you back on your feet. Our staff will meet with you and dispel the common concerns and misconceptions associated with bankruptcy, so you will not have a reason to fear the loss of:
- Property like a home or a car
- Retirement accounts
- Face among family, friends and employers
- Control of your financial future
Bankruptcy Options
Chapter 7 and Chapter 13 are the two most common forms of bankruptcy and each have pros and cons.
- Chapter 7 liquidates certain types of assets to pay creditors and is generally best for anyone with large amounts of unsecured debt and little income. Most individuals have to give up very little, if anything, in a Chapter 7. An experienced bankruptcy attorney will help you plan your bankruptcy to protect your assets.
- Chapter 13 requires you to make a monthly payment to a Trustee for up to 5 years. The monthly payment can be as low as $100.00 per month depending on your circumstances. A Chapter 13 can pay off past due house payments to stop a foreclosure, and even strip a 2nd mortgage from your home. Most Chapter 13 bankruptcies repay very little to unsecured creditors. When properly planned with an experienced attorney, a Chapter 13 can be a powerful financial tool that stops harassing creditors and gets you get back on your feet in a better financial position.
Helpful Tips
If you are experiencing a financial hardship, the following are some things you should not do until you speak with an experienced Phoenix bankruptcy attorney. Do not:
- Repay loans to friends or family members.
- Transfer money or property to friends or family members.
- Withdraw large sums of cash from a bank account or otherwise try and hide assets.
- Liquidate a retirement account to pay off debt.
It is not uncommon for credit scores to actually start to improve after a bankruptcy; the debt and missed payments that drag your score down are discharged. A bankruptcy does not mean you will never receive credit again: Many individuals are surprised to learn that they are commonly extended credit after a bankruptcy filing. Although the Fair Credit Reporting Act allows bankruptcies to remain on your credit for up to 10 years, they are generally removed after seven.
Hire a Top Phoenix Bankruptcy Lawyer
Declaring bankruptcy has significant, long-term effects. So, it’s a decision you should make with the help of a top-ranked Phoenix bankruptcy lawyer.
Call us to discuss a bankruptcy and other possible alternatives to determine the best financial option for you. Call our experienced bankruptcy attorneys at Lerner & Rowe Law Group at 602-667-7777.
We offer free consultations and also, affordable payment plans. We want to help you take back control of your finances and also, give you a fresh start.
The information on this blog is for general information purposes only. Nothing herein should be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or viewing does not constitute, an attorney-client relationship.