If a person is deeply in debt, they’re going to have a difficult time getting out of debt and back on their feet financially. This is especially true if they don’t have much they can do about the debt because they have lost their income or they don’t make a significant income. When a person is in debt and cannot see any other options, they may want to consider bankruptcy.
Bankruptcy can help a person organize their debts to pay them off faster or can help pay off their debts by selling assets and dismissing other debts that the person truly cannot afford, depending on the type of bankruptcy. If the person doesn’t own a business and has an income that is lower than the median income for their area, they will want to look into a chapter 7 bankruptcy. They will want to work with a chapter 7 bankruptcy attorney in Mooresville, NC to ensure they qualify for this chapter and to guarantee everything is done properly so they can complete the bankruptcy and get back on track financially.
With a chapter 7 bankruptcy, the person may be required to give their assets to a trustee who will sell them to pay off the person’s debts. Certain assets can be exempt from this, which is why a lawyer is so important. The debts remaining after the assets are sold can be dismissed as long as they are eligible to be included in the bankruptcy. Not all debts are eligible. This entire process can take about six months to complete, and the person will have the bankruptcy on their credit history for a lengthy period of time after it’s completed. However, this can stop debt collectors from calling and can help a person get out from underneath a significant amount of debt quickly.
If you’re being contacted multiple times a day by debt collectors, or you have a substantial amount of debt and no or little income, you may qualify for chapter 7 bankruptcy to clear your debts and get back on your feet. You can contact a chapter 7 bankruptcy attorney in Mooresville, NC to find out if you qualify and, if so, what steps you need to take. If you’re ready to speak with a lawyer now, Contact Lake Law Office, PLLC today.