Carrollton Personal Bankruptcy Attorneys
Bankruptcy is a big step, but even with the hit your credit will take, it can still be a great way to launch a strong financial future if you’ve had financial difficulties in the past. It’s important to know that bankruptcy isn’t just for financially irresponsible people — some of the most common causes for filing for bankruptcy include unexpected medical bills, divorce, and a business failing in a bad economy. Several bankruptcy options are available to best meet your financial situation.
Chapter 7 Bankruptcy
In Chapter 7 bankruptcy, a person’s or business’s assets are liquidated to pay off their debts. All unsecured assets, except for certain personal assets, are sold. If the amount received is enough to completely repay the debts, the debtor will receive the remaining balance. Otherwise, the remaining debt will be forgiven.
Chapter 13 Bankruptcy
Chapter 13 bankruptcy allows an individual to keep their assets while entering into a payment plan to settle their debts. If you have regular income, you may qualify to file for Chapter 13 bankruptcy. If you do, a manageable payment plan will be worked out with the court and if your debts haven’t been paid off at the end of that plan, the remaining balance will be forgiven. (Information purposes only – Meyer & Colegrove does not handle personal Chapter 13 bankruptcy).
To learn more about which bankruptcy option is right for you, contact the Carrollton and Plano bankruptcy attorneys at Meyer & Colegrove today.