Category Archives: Bankruptcy

Bankruptcy Lawyers – Can They Help You To File Bankruptcy

Do you know that more than 2 million people filed for bankruptcy in the US in 2006?

Now, as the global economy is still repairing itself after surviving the slowdown, financial experts have put forth a view that more citizens could be filing for bankruptcies. These people will be (probably) filing such petitions while they consider debt consolidation programs and seek other financial help to save themselves from being harassed by the creditors or credit providing corporations. .

When it comes to the bankruptcy law, it has been noticed that people are filing for such petitions either under Chapter 7 or Chapter 13, depending on their individual situations and necessities. Now, if you are looking to file for bankruptcy under these postulates, you need to realize that there are several factors that need to be considered before you go ahead with the filing procedure. Firstly, you need to be well- acquainted with the bankruptcy law and its various provisions, your qualifications and disqualifications and the paperwork that needs to be documented while filing such petitions. This is exactly where a bankruptcy law firm can help you. From helping you with the initial paperwork to seeking relief from home foreclosures and repossessions – a good bankruptcy law firm can be your guiding star, throughout!

Here are some of the advantages that can be enjoyed if you seek assistance from a reputed bankruptcy law firm: 1. The lawyers from a recognized legal firm can always help you in assessing your financial situation before you file for bankruptcy. Their assistance would also enable you to understand the changes in the bankruptcy law (if there be any) and eventually get familiar with the new postulates.

2. Now, the legal proceedings relating to liquidation are litigated by the United States Bankruptcy Courts and there are several codes that are involved. For the average common man who wants to file bankruptcy – it’s only a good liquidation attorney who can help him in understanding these codes and make sure that his rights and privileges are not jeopardized.

3. These liquidation attorneys provide quality legal representation in a variety of cases including property foreclosures to wage garnishment and repossessions.

So, if you require any assistance with liquidation cases, you need to find the offices of a popular bankruptcy law firm. Atlanta, Decatur and Doraville residents can also seek help from the lawyers of Darrell L. Burrow’s law firm – one of the very best in the region!

Filing bankruptcy Atlanta – Legal Atlanta will best serve you and give you accurate advice about your bankruptcy case. They have many years of experience dealing with bankruptcies. Visit their website Legalatlanta.com for more information.

Importance of Pre-Bankruptcy Credit Counseling


Regaining control over your financial life is possible only on filing
for bankruptcy as it presents you with provides incredible protection.
No one can deny the fact that procedure of filing for bankruptcy is
quite complex even if you hire a bankruptcy lawyer. Filing is not just
as simple as other cases, before beginning of the paper work; you have
to fulfill the credit counseling condition 180 days before the time.
This credit counseling procedure also goes together with a debtor
education itinerary, which is obligatory before your debts can be
emancipated through bankruptcy.


Let us understand the benefits of credit counseling and how it is
important for an individual under financial crises. Debtor education
requirement and the credit counseling cannot be accomplished at the same
time. Credit counseling takes place before filing for bankruptcy; on
the other hand, debtor education happens after it. You will obtain a
numbered certificate as you accomplish these necessities, which defend
you against swindle.

There are so many things that you will notice during your session of credit counseling:

Evaluate Your Personal Financial State Of Affairs:
Analyze your assets, debts and income as it helps you in determining
your approach of moving forward. In spite of the actions taken for
financial recovery, you can actually experience a brand new initiation
once you become fully aware of your existing situation. Because filing
for bankruptcy offers you the chance to restructure and discharge debts,
it is fundamental to identify your debts so that you can make out which
opportunity is paramount for you.

Discover The Alternatives:
The main objective of credit counseling is to make certain that filing
for insolvency is strictly your most excellent solution. You will look
at other alternatives that can only be possible when you completely
understand your financial condition. Searching for several options will
definitely prove helpful, and moreover, defend against searching for a
substitute for the sake of steering clear of bankruptcy.

Produce A Budget Plan:
It is quite significant to make a budget plan as it will allow you to
meet all your goals whether you search for a substitute or file for
bankruptcy. Without any particular plan, the solution you opt for will
disentangle and you might find yourself fall behind on payments once
again.

There are so many other noticeable things that are
important during the session and you will know them only on contacting
the bankruptcy counselor. This professional should have years of
experience in handling such cases because bankruptcy is a field where
one case differ from the other. Every new case will present new
experience to the experts and hence they will share things on the basis
of this. Finding such professionals is easy as there are many who have
their own personal blogs and website. You can contact them on the basis
of judging their knowledge related to this field. It is not always
correct that they charge reasonably high. There are many who at their
best knows the situation of their customer and charge reasonable. There
are few who believe in no win a fee concept.

Arizona Bankruptcy Attorney- Which Is Better, Bankruptcy or Debt Settlement

When hiring an Arizona bankruptcy attorney you need to know which form of debt settlement is best for you. In this article we will talk about the difference in debt settlement and bankruptcy and which is better?

That is such a good question, and on that bankruptcy attorneys all the time. Most people facing debt problems want to do the right thing. They want to pay their debt. And if they are able to and they have the means to do it, I’d suggest they do it. But the majority clients simply don’t have the means to pay it.

But first so we’re clear on this, let me give you a brief explanation of it.

Debt settlement is when a company that takes a monthly payment from you. Typically, they will sit down and prioritize your debts and find out how much debt you have. They earn a percentage off of the debt that they settle for you and they will come up with a payment schedule for you.

Let’s say, for example, you’re going to pay them $700 a month. If you pay that $700 a month, that’s put into a savings account for you in their name. Then, once there’s a lump sum that’s sufficient to settle with your creditors, they’ll start the settlement process and of course, they’re charging for this service and they charge a percentage fee.

Say, for example, you have three credit cards that total $25,000. This is all unsecured debt, meaning there’s not a house or a car. It’s just credit card debt. The debt settlement company will tell you that they can settle the accounts for $15,000, which is 60% of the debt. And then they’ll charge you a fee of $3700, which is 15% of the total debt.

So really if you look at that, your total payment to settle your $25,000 credit card debt is actually $18,700. And then again, you’re making this $700 a month payments for 24 months or longer in order to meet this goal.

So what happens for a lot of people is even $700 is just simply too much.

And the other issue that happens is that the creditors don’t necessarily agree. These three credit card companies may not be willing to settle with you. This is not something they’ll go along with, especially if you’re employed. They’d be more inclined to simply sue you and garnishee your wages and get the amount from you that way.

The problem with the debt settlement company is, they can’t represent you in court because they’re not a law firm. So what often happens is that the majority people are half way through their debt settlement process, which means they’ve probably paid them the $3700 that they owe the debt settlement company, but they don’t have sufficient funds to settle or the credit card companies aren’t agreeing to settle and they’re facing law suits.

Now if you compare that to bankruptcy, first of all, bankruptcy is typically much less expensive. You can spend anywhere from $2500 to $3500 including all the fees in bankruptcy. Also remember the 24-month payment that you’d be looking at with debt settlement? In a chapter 7 if you qualify, you don’t make any payments on your debt.

Ex-Spouse Filing For Bankruptcy How This Affects Child Support

It’s an unfortunate truth that often times ‘money problems’ are cited as the leading cause or contributing factor to divorce. Considering this, it’s not unusual for a post-divorce bankruptcy (or two) to play a part of the life after divorce.
In dealing with bankruptcy concerns, child support becomes a critical factor for Florida law cases.

If you find yourself facing this situation with your ex-spouse, you need to be informed about how bankruptcy affects child support payments.
Often, one party files for bankruptcy under the impression that any and all financial obligation to the other party will be dischargeable in the bankruptcy. However, this is simply not the case with domestic support obligation(s). In response to the economic downturn and housing market decline, a bankruptcy law went into effect in 2005, titled ‘The Bankruptcy Abuse Prevention and Consumer Protection Act’ (BAPCPA ). This altered the relationship of debtors and creditors, and even altered the relationships between creditors. This new law changed many things in the bankruptcy code including how a “domestic support obligation” will be treated.

Child Support And Bankruptcy

What do you need to know about domestic support obligation as it relates to bankruptcy? First, domestic support obligation can come in many forms, such as:

– Alimony and/or child support
– Money owed to a spouse before divorce
– Financial obligation incurred during a divorce agreement

Before BAPCPA, the law stated that you could NOT discharge a child support obligation or alimony in a Chapter 7 or Chapter 13 bankruptcy, but you could discharge any money owed to a spouse (i.e., domestic support) under a divorce agreement so long as the money wasn’t a part of the alimony or child support obligation. This is sometimes termed, an “equalizing payment” in the final agreement or court judgment.

Additionally, before this new law, if the ex-spouse filing for bankruptcy couldn’t pay the debt or if discharging the debt would be less detrimental to the spouse receiving the funds, it could be listed and discharged depending on the final judgment of the court. All of this changed with BAPCPA.

How Will Bankruptcy Affect Child Support Payments
A Chapter 7 bankruptcy is a personal bankruptcy, offering filers a complete discharge of all eligible unsecured debts; however, child support is not eligible for discharge thanks to The Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA). It is understood by the United States Congress, family law and bankruptcy courts that child support payments are intended to maintain a human life and are accordingly highly prioritized and protected by the court.

Simply put, if you or your ex-spouse file a Chapter 7 (or Chapter 13) bankruptcy, the domestic support debt and child support is still obligated and the courts will not be able to discharge the debt. When the bankruptcy is over, the spouse will still owe the debt and support to the other spouse.

Bankruptcy and Child Support Modification

Keep in mind, since bankruptcy eliminates certain low-priority debts, it may make it easier for your ex-spouse to make monthly child support payments. Bankruptcy cannot change what your ex-spouse owes in child support or make modifications to the amount of payment.
With this in mind, if your ex-spouse can no longer afford the court-ordered child support payment, you may want to contact a divorce or family court lawyer to discuss your specific concerns and situation before you and your child or children experience undue financial hardship.

Seek out trustworthy legal advice about your options and understand your rights so that you can protect you and your children from ongoing stress and confusion. We’re here to help you with any questions you have, or you may set up a consultation to discuss your case now.

What is Chapter 7 and Chapter 13 Bankruptcy

Filing a Chapter 7 Bankruptcy is the most common type of bankruptcy proceeding. It is sometimes called “straight” or “liquidation” bankruptcy. Filing a Chapter 7 Bankruptcy eliminates most kinds of unsecured debt. Some examples are credit cards, medical bills, most personal loans, judgments resulting from car accidents, and deficiencies on repossessed vehicles.

How does a Chapter 7 Bankruptcy work?

In a Chapter 7 Bankruptcy lawyers prepare a petition for you. This will list all of your assets (the things you own) and all of your debts (the creditors). A Bankruptcy lawyer will file this with the Bankruptcy Court. The Court will notify all of your creditors that you have filed. The Court will also appoint a Chapter 7 Bankruptcy trustee to oversee your bankruptcy. You will have to attend a meeting with the trustee. Your lawyer will also come with you to this meeting to make sure that it goes as smoothly as possible. Usually, you will not have to attend any other hearings, just this one. You will have about a month notice before your meeting so you will be able to take off work if you need to.

The court will usually issue a discharge in your case about 70 days after your meeting with the trustee. Once you receive the discharge, you will know that the dischargeable debts are gone forever. A bankruptcy proceeding is a complicated process. You need an experienced bankruptcy attorney to guide you through it.

Who is the Chapter 7 trustee?

The Chapter 7 trustee is appointed by the government to oversee your case. The main goals of the Chapter 7 trustee are to make sure that the forms are filled out correctly and to check if there is fraud on the part of the debtors. The Chapter 7 trustee will also check to see if you have the proper protections to keep all of your property. If you do not have the proper protection then a Chapter 7 trustee has the right to take those unprotected items and sell them. If the case is filed with a reputable law firm, then one does not have to disclose their property to them and then surprisingly lose it to a trustee. The protection laws can be very complex, but a good lawyer has the experience to help you through the maze and to protect your personal treasures.

What is a Chapter 13 Bankruptcy?

Under a Chapter 13 Bankruptcy proceeding, your debts are restructured to enable you to pay off your creditors with your future earnings. A Chapter 13 Bankruptcy Plan will be devised for you to repay your creditors. You will pay them off, usually with no interest, over a period of three to five years. The monthly payment is based in part on your income and your ability to pay. The creditors will be paid off at different rates depending on your case. Depending on your income you will be held liable for all or just a portion of your debts. In some cases the Chapter 13 trustee will pay the creditors as little as 10% of the amount you owe. Once the Chapter 13 Bankruptcy is complete the unsecured creditors can never ask for any more.

In a Chapter 13 Bankruptcy you will make one payment to a Chapter 13 trustee. The trustee will use that money to pay all of your creditors. This will give you one easy payment to make each month. The goal of the Chapter 13 Bankruptcy is to give you a reasonable payment that will put you back on the right track and give you a set date when you know you will be out of debt.

Who is the Chapter 13 Bankruptcy Trustee?

The Chapter 13 trustee is hired by the Federal Government. The Chapter 13 Bankruptcy trustee collects money from debtors who have been approved for a Chapter 13 Bankruptcy restructuring plan and distributes the payments to the creditors.

Is a Chapter 13 the same as those “debt consolidators”?

Bankruptcy can help you get your life back. You may have seen advertisements for companies that do “debt consolidation”. A Chapter 13 Bankruptcy is very different. The private “debt consolidators” try to get your creditors to agree to a repayment plan. The creditors have no obligation to work with these private companies. If the private companies are late making a payment on your behalf, or if a payment gets lost in the mail, the creditors can charge you penalties and late fees. This means that if you use a private debt consolidator you could end up owing more money than when you started. In contrast, if the creditors are being paid through a Chapter 13 Bankruptcy plan then they may not charge for late fees or penalties.

A Chapter 13 Bankruptcy is a procedure administered by authority of the Federal Government. It is not a negotiation with the creditors. They are forced to take payments provided by the plan. If the creditors do not comply or if they fail to file their paperwork to be part of the Chapter 13 Bankruptcy then they get nothing. The Chapter 13 Bankruptcy Court does not beg the creditors to participate. The Chapter 13 Bankruptcy will dictate to the creditors what they will get.

What is the difference between a Chapter 7 Bankruptcy and a Chapter 13 Bankruptcy?

A Chapter 7 Bankruptcy will get rid of all of your debts in one procedure. A Chapter 13 Bankruptcy will force your debts into a repayment plan. Why should you choose a Chapter 7 Bankruptcy or a Chapter 13 Bankruptcy? A Chapter 7 Bankruptcy is probably better if you qualify for it. The problem is that not everyone qualified for a Chapter 7 Bankruptcy.

In order to determine if you qualify for a Chapter 7 Bankruptcy the Court will look at your income (what you make) and your assets (what you own). If your income is unusually high then the Court may not allow you to file for a Chapter 7 Bankruptcy. In order to determine if your income is too high they will look at your household income for the prior six months. They will then compare that income to the average income for a family of your size. They will also take into account any special expenses you have, such as child support, medical expenses and school.

In determining if a Chapter 7 Bankruptcy or a Chapter 13 Bankruptcy is right for you, your Bankruptcy lawyer will also need to look at your assets. In a Chapter 7 Bankruptcy you can usually keep your house, cars and personal goods. However, there are limits to this. If you have a large amount of equity in your house (i.e. if you could sell it for a very large profit) or if you have very valuable personal goods, you may want to file a Chapter 13 Bankruptcy. Under a Chapter 13 Bankruptcy your possessions are protected no matter how much they are worth. Even very expensive assets can be kept under a Chapter 13 Bankruptcy.