Bankruptcy
Christiansen Law, PLLC | Bankruptcy
Flagstaff Bankruptcy Lawyer
From lawsuits by creditors to foreclosures to being unable to pay for everyday bills, being in serious debt is stressful for most people. Whether the debt problem is due to a job loss or a bad financial decision, most people are desperate to get back on their feet. While there are several debt relief options for people in serious debt, bankruptcy is one of the best ways to start afresh.
If you are in serious debt, you may have considered bankruptcy. However, you are probably uncertain about filing and which type of bankruptcy is best for your circumstances. You may also have had to deal with myths and misinformation on bankruptcy. If you are in Flagstaff, AZ, we are here for you.
At Christiansen Law, PLLC, our Flagstaff bankruptcy lawyers are committed to helping you understand the bankruptcy process while helping you choose the best bankruptcy for your circumstances. We understand your need for a faster and smoother process, and we have the necessary skills and experience to ensure your bankruptcy case will be smooth and efficient.
Should I file for Bankruptcy?
If the bills are piling up, the high interest rates on your credit card debt seem overwhelming, or you can no longer keep up with your mortgage and car payments, you should consider filing for bankruptcy. Additionally, you should consider bankruptcy if huge medical bills following an unexpected illness prove hard to pay.
While it is important to consider all debt relief options when in serious debt, many popular options, including taking personal loans to pay your creditors, usually end up adding to your debt problems. However, by eliminating common debts, including credit card balances and medical bills, filing for bankruptcy can give you a much-needed fresh start.
Besides wiping off your debt or helping you manage debt repayment, bankruptcy also gives you a chance to start afresh, especially if your financial problems are due to poor decision-making. If you are considering bankruptcy but are anxious about going about it, a skilled bankruptcy attorney can help you make an informed decision.
Our bankruptcy lawyers at Christiansen Law, PLLC, will guide you through the entire process and answer any questions you might have concerning bankruptcy. We will also advise you on the type of bankruptcy that fits your financial goals and current situation.
Type of Bankruptcy
While the U.S Bankruptcy Code outlines several types of bankruptcies, Chapter 7 and Chapter 13 bankruptcies are the most common types of bankruptcies. The two types of bankruptcies are primarily for everyday people and situations, with each type of bankruptcy having its requirements and rules.
Chapter 7
Chapter 7 bankruptcy is also referred to as liquidation bankruptcy as it offers you the opportunity to liquidate or sell most of your non-exempt assets to pay off your debts. A Chapter 7 bankruptcy wipes out most of your debt, including your unsecured debts. By stopping processes like debt collection and wage garnishment, bankruptcy offers you a chance to start afresh.
While a court-appointed trustee or administrator will sell your assets to pay creditors, there are certain assets that federal and state laws exempt from sale. The attorneys at Christiansen Law are well versed in the federal and state exemptions and are prepared to use them to their full advantage for you. If the proceeds from the sale are not enough to settle all your debts, the court discharges all remaining debt obligations.
Chapter 13
A Chapter 13 bankruptcy allows you to pay your creditors over time. Instead of selling your assets to pay off your debt, Chapter 13 involves having a debt repayment plan where you agree to pay your creditors over time. As a reorganization bankruptcy, Chapter 13 gives you a chance to fulfill any overdue debt obligations.
A court-appointed trustee or administrator helps you develop a repayment plan depending on your income and type of debt. While a Chapter 13 bankruptcy does not involve selling your property, you risk the repossession of some assets if you fail to adhere to the repayment plan.
Both Chapters 7 and 13 bankruptcies require different qualifications, including income threshold. Therefore, it is important to seek the guidance of a bankruptcy lawyer on which type of bankruptcy is right for you and whether you qualify for it.
Why you need a Bankruptcy Attorney
For many people, bankruptcy is not just scary; it is complicated. From questions on what will happen to their property to income and debt limits to who can file for bankruptcy, bankruptcy is understandably complex. Besides filling out forms, you need to comply with different state and federal bankruptcy laws.
While it is not mandatory to have a lawyer while filing for bankruptcy, a simple mistake during filing can negatively affect your life for a long time. It is advisable to seek the guidance of a bankruptcy lawyer considering the long-term legal and financial implications of bankruptcy.
A skilled and experienced Flagstaff bankruptcy lawyer can help you avoid costly mistakes while saving you money and protecting your property. A bankruptcy lawyer will help you navigate the often complex bankruptcy laws, including property exemption. They will also help you take advantage of the different U.S Bankruptcy Code reliefs.
Besides the complex bankruptcy laws and requirements, the process requires thorough preparations and may take a lot of your time. Essentially, a lawyer helps you interpret the law and helps make the process smooth and efficient.
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Contact a Flagstaff a Bankruptcy Lawyer
Dealing with bankruptcy hearings and filling out forms can be overwhelming on top of dealing with your existing financial problems. However, a Flagstaff bankruptcy attorney can minimize your bankruptcy worries by handling the details on your behalf. At Christiansen Law, PLLC, we understand your worries and are committed to accompanying you through the entire bankruptcy process as we help you start afresh. We will provide all the necessary information to help you decide on the right bankruptcy plan for your current situation. Contact us today to schedule an appointment, a free consultation, or to learn more about our services.