If you qualify for a bankruptcy, you have the right to relieve yourself of debts immediately. However, any misunderstanding of the process will lead to severe consequences. With a lawyer’s assistance, review your case and how it pertains to the Bankruptcy Law in Tucson.
There are various advantages that involve declaring bankruptcy. There are laws that allow you to use property exemptions. Items that can be exempted include spousal alimony, retirement funds, home furniture and cheap cars. The trustee is not allowed to sell items that are exempt. This way, you can possibly protect your most valued possessions for the time being.
The community property law is an important benefit for anyone who files for bankruptcy. When one spouse files for bankruptcy, the other spouse does not have to be responsible. Since the debts will be discharged, there are no major concerns for the other person in the relationship.
In the few months before filing, you may be required to see a credit counselor. You do not have to make this meeting if there is an emergency. The process involves creating a list of your debts, salaries and monthly payments.
Before you review the local and state bankruptcy laws, with the help of your attorney, choose the right option. A Chapter 7 plan involves getting rid of debts immediately. The Chapter 13 plan involves making repayments over several years. The 7 plan is faster and has fewer income requirements. To file for Chapter 13, show that you have enough income to make payments for a few years. With both options, there are limits to the number of times you can file. You have to wait eight years to refile a Chapter 7 plan and six years to refile a Chapter 13 plan. Learn about the benefits and setbacks of both processes from your attorney.
The rules of bankruptcy are usually the same in all U.S. states. It is important to request more information from a nearby lawyer. Understand how the law fits into your situation. Know the amount of property you can keep, the debt amount you can discharge and other details. Filing for bankruptcy will affect your qualifications when it comes to getting a loan or mortgage. Make sure you are prepared for the rules that make up a Chapter 7 or 13 program.
The knowledgeable bankruptcy attorneys of The Law Office of Neff & Griffith, P.C. will help the people in Tucson AZ to move past tough financial problems.