Some people just cannot avoid debt. Perhaps, they needed to borrow money from the bank to put up a new building for their business. Or they took up loans to finance a product launch. Unfortunately, as our bankruptcy attorney office Van Nuys observed, not all businesses would prosper. For that reason, some business owners are facing serious debt problems, forcing them to file for bankruptcy.
This type of remedy will stop collection actions, such as wage garnishments, phone calls, and lawsuits. It also wipes out many types of debt, like medical bills, personal loans, etc. However, it is vital to remember that not all obligations are eliminated. For example, you will need to pay for your student loans. But if you could prove a hardship, then the law will get rid of them. You will also pay for child support and most tax debts.
Helping You Eliminate Certain Obligations
As you file for bankruptcy, some of your obligations are wiped out so you can get a fresh start. Whether you file for chapter 7 or chapter 13, some of your debts can be eliminated. However, each chapter will have a process on how to eliminate them. In other words, they treat debt differently. For that reason, it is vital that you know which chapter is right for your situation. You must choose the right option, though. If not, the court will not approve of your filing. To avoid it, make sure to work with a bankruptcy lawyer. When you file, the court will place an automatic stay order. It stops the majority of creditor calls. It also prevents wage garnishments and lawsuits. But your creditors can still gather support payments.
As soon as you file for bankruptcy, any eviction in the process will be halted. However, the stay will be temporary. That is, if the landlord got the eviction judgment against you, filing for any bankruptcy chapter will not help. If you wish to know more about evictions, please consult our bankruptcy law attorney.
Filing for chapter 7 will not stop any repossession. In that case, you cannot keep your property. You must bring your account current to avoid losing your house or car. But that is only the case of chapter 7. This will be different when you file for chapter 13. In this chapter, it lets you pay for past dues, thereby, allowing you to keep your asset. With that in mind, it is vital that you know which chapter to file for. To help you determine it, you need to hire a bankruptcy lawyer to help you out.
Bankruptcy Law Office in Van Nuys
Filing for bankruptcy can help you wipe some of your debts. But you need to file the right chapter. Otherwise, you will be filing for no purpose. Make sure that you work with a lawyer to assist you in the filing. Our bankruptcy attorney office Van nuys is here to guide you in your filing. You will work with our bankruptcy lawyer so that you will be filing for the right chapter to avoid complications when you file incorrectly. For further inquiries, please call (949)565-4707 – (323)524-2123 – (818)960-6460.