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Feb 26
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Bankruptcy in Opelika: Next Steps

By Chapter 13 Bankruptcy, Chapter 7 Bankruptcy, Understanding Bankruptcy No Comments

David S. Clark, an experienced Chapter 7 & Chapter 13 bankruptcy attorney breaks down your next steps when facing bankruptcy in Opelika, AL.

Bankruptcy in Opelika is an unfortunate but not uncommon situation to find yourself in. The stress and pressure of facing financial difficulties can leave you confused and seeking guidance. Thankfully, there are next steps that you can take to set yourself up for recovery. Let’s go over the next steps you should take when facing bankruptcy in Opelika, Alabama.

Chapter 7 Bankruptcy or Chapter 13 Bankruptcy?

Before going any further, it is important to determine whether you are dealing with Chapter 7 Bankruptcy or Chapter 13 Bankruptcy. Let’s take a look at some of the key differences between the two, helping clarify which type of bankruptcy you may be experiencing.

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark
› Chapter 7 Bankruptcy in Opelika

One of the most common forms of bankruptcy in Opelika and across the country is Chapter 7 Bankruptcy. Essentially, Chapter 7 Bankruptcy is when all of your assets are liquidated to help pay down your debts. When declaring Chapter 7 Bankruptcy, asset liquidation helps clear unsecured debts, including credit card bills, medical bills, personal loans, and utility bills. 

Once your petition for Chapter 7 Bankruptcy is submitted, automatic stay goes into effect. Automatic stay prevents creditors from pursuing collection against you. This allows you to handle your bankruptcy in peace without dealing with incessant calls, emails, and lawsuits seeking money.

› Chapter 13 Bankruptcy in Opelika

The other most common form of bankruptcy in Opelika and across the country is Chapter 13 Bankruptcy. Chapter 13 Bankruptcy is different from Chapter 7 Bankruptcy because of the debt repayment process. Unlike in Chapter 7 Bankruptcy, not all of your assets are liquidated during Chapter 13 Bankruptcy. Common practice is for a court to develop a debt repayment plan, which outlines a timeline for you to repay your debts over time. These repayment plans are typically outlined for 3 or 5 years.

With a Chapter 13 Bankruptcy repayment plan in Opelika, you will make monthly payments to a trustee who distributes the funds to creditors accordingly. The benefit of Chapter 13 Bankruptcy is that you are able to keep some of your assets throughout the process, including a home or a car. This can put you in a better position to pay off debts by improving access to employment opportunities that can help you pay down these debts.

Seeking Professional Legal Advice in Opelika

When you are considering declaring bankruptcy in Opelika, it is absolutely crucial to consult with an experienced legal professional. Bankruptcy is not something to be entered into lightly, and by consulting with a Bankruptcy attorney in Opelika, you can get trusted advice to ensure you are taking the best possible next steps for you and your family. Thankfully, if you are experiencing a financial crisis in Opelika, there are caring and experienced legal professionals who can help you through this difficult and stressful time.

David S. Clark: Opelika’s Trusted Bankruptcy Attorney

In Opelika, the trusted and professional authority on Chapter 7 and Chapter 13 Bankruptcy is David S. Clark. David and his team of legal professionals are committed to helping the Opelika community when they fall on hard times. We can analyze your unique situation and give professional legal advice that is in your best interest. Our goal is to help get you back on your feet financially, and bankruptcy can be a necessary tool to help you do so in Opelika. 

If you’d like to speak with David and get professional advice on your current financial situation, please don’t hesitate to contact us. We offer free consultations to help you decide your best next step towards financial recovery. Give us a call today to see if we can help you get back on your feet!

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Jan 27
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Personal Bankruptcy Explained

By Bankruptcy Law No Comments

Below is a quick breakdown of personal bankruptcy and how a dedicated bankruptcy attorney in Opelika can help.

There is a lot of confusing legal jargon surrounding bankruptcy law, which can quickly lead to a “muddled” view of bankruptcy. Yet, with the guidance of an experienced Auburn and Opelika, Alabama bankruptcy attorney, you can gain a clear understanding of your options and find a path to financial recovery. 

Ultimately, a lot of myths surround the bankruptcy process, especially when it comes to Chapter 7 and Chapter 13. So, here is a quick breakdown of the personal bankruptcy process from David S. Clark, a personal bankruptcy attorney in Auburn and Opelika, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Understanding Chapter 7 Bankruptcy

Chapter 7 bankruptcy, often referred to as “liquidation bankruptcy,” provides individuals an option to eliminate most of their unsecured debts. While there are many types of “unsecured debts” these typically include medical bills or credit card debt. 

In Auburn and Opelika, Alabama, a bankruptcy attorney can help you determine whether you qualify for Chapter 7 and guide you through the often confusing process. If you do qualify, Chapter 7 can not only provide a fresh start for your finances but relieve you from the stress of large medical bills or credit card debt. 

Understanding Chapter 13 Bankruptcy

Chapter 13 bankruptcy, also known as “reorganization bankruptcy,” is designed for individuals with a regular income who wish to create a repayment plan to manage their debts over a three to five-year period. 

With the support of a bankruptcy attorney in Auburn and Opelika, you can work to keep your assets while restructuring your debts into manageable monthly payments. Chapter 13 can be a powerful tool for homeowners facing foreclosure, as it can allow you to catch up on missed mortgage payments while keeping your home. 

The Role of a Bankruptcy Attorney

Bankruptcy law is intricate and riddled with legal complexities, legal conversations, and mounds of paperwork. Thankfully, having an experienced bankruptcy attorney in Auburn and Opelika by your side can make all the difference. 

While experience is important, it is also crucial to remember that every personal bankruptcy case is different, which is why finding a bankruptcy attorney who understands your situation, wants, and needs can transform your case. 

Next Steps 

If you’re considering Chapter 7 or Chapter 13 bankruptcy as a solution to your financial challenges, the first step is to schedule a consultation with a bankruptcy attorney in Auburn and Opelika. During this consultation, you’ll have the opportunity to discuss your financial situation, goals, and concerns. The attorney will provide you with insights tailored to your circumstances and guide you toward the best course of action.

Bankruptcy law need not be shrouded in mystery. David S. Clark is a bankruptcy attorney in Opelika and Auburn, Alabama who can provide clarity, encouragement, and help when you feel like there’s nowhere else to go. Whether you’re exploring Chapter 7 or Chapter 13, remember that you’re not alone—professional support is available to help you regain control of your finances and move forward with confidence. Contact David S. Clark today! 

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Dec 20
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Picking a Local Bankruptcy Attorney vs. Large National Firms

By Bankruptcy Law, Financial Tips No Comments

David S. Clark breaks down the benefits of picking a local bankruptcy attorney over a large national firm.

If you’re the kind of person that cares about relationships and results in any legal case, then you’re almost always going to be more satisfied with the representation of a local attorney vs. a large national firm. It can typically be difficult to maintain a quality relationship with a large firm in a larger city due to the sheer volume of cases those firms will usually handle, as well as numerous different attorneys that you’re likely to interact with. While the national firms may seem initially appealing due to their resources, there are many different reasons why the local attorney may be a better choice for your bankruptcy representation.

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

  1. Relationships

By far the most important aspect of working with a local attorney that is “near me,” is the ability to maintain a level of a professional relationship that’s practically impossible with a large firm. Sitting down and talking with a real human being is often missed, and the ability for another person to look you in the eye and understand your situation is imperative. If you’re able to work with an attorney face to face, you will likely receive more flexibility and a more customized approach, having the lawyer customize their work specifically for your case.

  1. Local Court Knowledge

An attorney from the area you’re familiar with will likely have a more thorough and comprehensive understanding of local ordinances and laws that could affect your case. While many parts of bankruptcy law are federally mandated, the way a judge could rule over your proceedings is not. Having an experienced attorney that is familiar with your city could make a huge difference in the effectiveness of your representation.

  1. Cost Effectiveness

Without the massive overhead of a large corporate office, a local bankruptcy attorney will likely be able to be more cost effective for you in the long run. While no one wants to have to make a financial decision about the best representation available, the ability for a local attorney near me to work with you on the cost of a particular case could be the difference in success or failure.

  1. Long-Term Clients

Local attorneys are often focused on building long-term relationships with their clients. Their goal is not just to resolve a single case but to develop a trusted, ongoing relationship that could lead to future referrals or legal needs. This commitment to client satisfaction can translate into a more thorough, hands-on approach to your case.

National firms, however, are typically focused on volume and may view cases as part of a larger business model rather than focusing on building lasting relationships with clients. Once your case is closed, there’s often little follow-up or ongoing engagement unless you have another legal matter.

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Oct 28
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Back to Basics: The Benefit of an Automatic Stay

By Bankruptcy Law, Financial Tips No Comments

The next chapter in our Back to Basics series: The Benefit of an Automatic Stay

If you’re a resident of Auburn or Opelika, Alabama, and considering personal bankruptcy, then you probably understand the stress of mounting debt, constant creditor calls, or even potential lawsuits. Yet, whether you’re considering Chapter 7 or Chapter 13 bankruptcy one of the most powerful tools you can leverage is the “automatic stay”. 

So, in today’s chapter of Back to Basics, here is a breakdown of the basics of an automatic stay, how it works in personal bankruptcy, and its key benefits for debtors from David S. Clark, a Chapter 7 and Chapter 13 bankruptcy attorney in Opelika, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

What is an Automatic Stay?

Whether you file for Chapter 13 or Chapter 7 personal bankruptcy, the automatic stay is a federal provision that takes effect as soon as you file. Once in place, creditors must stop all attempts to collect debts, garnish wages, foreclose on your home, or repossess property. In a way, the automatic stay acts as a “shield” to give you relief from the financial pressures that brought you to bankruptcy. 

How Does an Automatic Stay Work?

When you file your bankruptcy petition, the court immediately issues the automatic stay. This notice is sent to your creditors, and they are required by law to cease any collection efforts. This protection remains in effect throughout your bankruptcy process unless a creditor successfully files a motion to lift the stay.

While the stay is not permanent, it offers you a window of time to organize your finances, negotiate with creditors, or prepare for the discharge of certain debts. In Chapter 7 bankruptcy, the automatic stay is in place until your assets are liquidated and debts are discharged. For Chapter 13 bankruptcy, the stay can last much longer, often throughout the entire repayment plan, which could span three to five years.

The Key Benefits of an Automatic Stay

An automatic stay provides several crucial advantages, especially for individuals who are drowning in debt. Here are the key benefits:

  1. Stops Collection Calls and Harassment Once the automatic stay is in effect, creditors are prohibited from contacting you to demand payment. This means no more harassing phone calls, letters, or lawsuits, giving you peace of mind and the space to focus on your financial recovery.
  2. Halts Wage Garnishments If your wages are being garnished to satisfy unpaid debts, the automatic stay puts an immediate stop to this process. You’ll have access to more of your paycheck, which can help you cover your day-to-day expenses while you’re working through bankruptcy.
  3. Prevents Foreclosure and Repossession One of the most significant benefits of the automatic stay is that it can stop foreclosure proceedings or repossessions in their tracks. This is particularly valuable for those filing under Chapter 13, as it allows you to create a repayment plan and potentially save your home or car from being taken.

Your Personal Bankruptcy Attorney in Opelika – David S. Clark

The automatic stay is one of the most powerful protections you can receive when filing for Chapter 7 or Chapter 13 bankruptcy. It provides much-needed relief from debt collection efforts and allows you to have a second chance. If you’re considering bankruptcy and want to learn more about how the automatic stay could benefit you, consult with a qualified bankruptcy attorney, like David S. Clark in Opelika, Alabama who can guide you through the process and ensure that your rights are protected. For more information, contact the bankruptcy attorneys at David S. Clark today! 

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Oct 16
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Back to Basics: Bankruptcy and Wage Garnishments

By Bankruptcy Law, Financial Tips No Comments

The next chapter of our “back to basics” series: Bankruptcy and Wage Garnishments.

As we’ve said over and over, bankruptcy can seem extremely scary. The thought of losing your car, home, or other possessions is certainly intimidating. Thankfully, there are often more myths surrounding bankruptcy than truths. Ultimately, more than anything, bankruptcy can significantly help with overwhelming personal debt and even protect you from wage garnishment. So, in the next iteration of our “back to basics” series, we wanted to take a moment to give a quick breakdown of bankruptcy and wage garnishments. 

What Are Wage Garnishments?

According to the US Department of Labor, wage garnishment is “a legal procedure in which a person’s earnings are required by court order to be withheld by an employer for the payment of a debt such as child support.” Essentially, this means that your paycheck or any other form of payment would go to a creditor instead of to you. A few more common forms of garnishments could include child support, alimony, student loan payments, and income taxes. 

Ultimately, wage garnishments can be financially crippling and incredibly difficult to stop. This is especially true when some forms of wage garnishments can take up to 50% or more of your wages. Thankfully, there are ways to fight this, and it surrounds that “scary” word we mentioned before…bankruptcy. 

In terms of personal bankruptcy, there are two main chapters, Chapter 7 and Chapter 13. Both of these include a few different processes and forms of repayment, which makes it essential to talk to an experienced personal bankruptcy attorney in Opelika before moving forward. Yet, here is a quick breakdown of both in terms of wage garnishments. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Chapter 7 Bankruptcy and Wage Garnishments

As soon as you declare Chapter 7 bankruptcy, wage garnishments are stopped due to an item known as the “automatic stay”. Ultimately, the automatic stay gives you a break from the financial stress that often follows wage garnishments. Once in place, this also allows your dedicated bankruptcy attorney in Opelika, Alabama to help you regain your financial footing. 

Chapter 13 Bankruptcy and Wage Garnishments

Much like Chapter 7, Chapter 13 bankruptcy introduces an automatic stay to your unique bankruptcy case. As mentioned above, the ability to stop wage garnishments is one of the most impactful ways that declaring bankruptcy helps when debt gets overwhelming. 

Through the Chapter 7 and Chapter 13 bankruptcy processes, and with the help of an experienced bankruptcy attorney, regaining your financial freedom and getting back on your feet isn’t so far away. It will take hard work, commitment, and starting new financial habits, but it is possible to get back to a healthy place with your finances. The financial easement process of automatic stays, which halt wage garnishments, is only one such way that the bankruptcy process can help.

The Difference With David S. Clark

If you are looking for dedicated bankruptcy law professionals to help you with your financial hardships, look no further than the experienced David S. Clark. Our focused and successful legal team has a combined legal experience of over 25 years. 

If you are an Auburn or Opelika, Alabama resident struggling with the weight of overwhelming debt, let us serve you and help you get back on your feet. Contact us today to begin your journey back to financial freedom.

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Sep 26
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Back to Basics: What To Do After Bankruptcy

By Financial Tips No Comments

Here is a quick breakdown of what to do after bankruptcy is complete from David S. Clark, an Opelika-based personal bankruptcy attorney who offers help for those seeking Chapter 7 or Chapter 13 bankruptcy in Lee County, Alabama. 

Unfortunately, there isn’t much information about what happens after bankruptcy, and many Auburn or Opelika residents are often faced with a scary question: “What do I do now?”. Ultimately, life after Chapter 7 or Chapter 13 bankruptcy holds a lot of uncertainty and, truthfully, will come with a few hardships (such as rebuilding your credit). However, life after bankruptcy is actually the key to your financial “reset” or “fresh start”. Here is a quick breakdown of what to do after bankruptcy is complete from David S. Clark, an Opelika-based personal bankruptcy attorney who offers help for those seeking Chapter 7 or Chapter 13 bankruptcy in Lee County, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Adapt Good Saving Habits

If you’ve been in a history class, then you probably understand the phrase “history repeats itself”. In this situation, it’s important to avoid this in every way possible, especially after facing bankruptcy. So, the best way to avoid going bankrupt again is to establish good and superior financial habits. These are called habits for a reason, and it may take some growing pains, but these choices are crucial to rebuilding your finances!

Create a Budget & Stick To It

More than anything, life after bankruptcy can be stressful and confusing, so planning your finances around a simple budget can help relieve the pressure around you. So, take time to establish a budget that works for you and fits within your unique wants and needs. 

Rebuild Your Credit, Rebuild Your Financial Freedom

To achieve a new financial life after Chapter 7 or Chapter 13 bankruptcy, it is very important to take the necessary steps to rebuild your credit. Rebuilding your credit can be accomplished by making your payments on time, opening a secure credit card and gaining a credit-builder loan.

Payment history accounts for 35 percent of your overall FICO credit score calculation. Therefore, it is highly imperative that you are consistent with paying your bills on time when rebuilding your credit. This goes to show that you are becoming financially responsible.

You should begin by reducing your dependence on credit cards in general, though the use of a secured credit card can help you gain a sense of trust through the eyes of your creditors. A secured credit card is usually backed by a savings account in your name, where the money serves as collateral and establishes a spending limit. Once again though, it is still just as important to make those on-time payments with your secured credit card.

Credit-builder loans are just another great way for you to continue rebuilding your credit. With this type of loan, you essentially make fixed payments to your lender and then get access to the loan amount at the end of the loan’s term. Credit-builder loans provide you with another opportunity to show that you are financially responsible enough to consistently make on-time payments.

Your Chapter 7 and Chapter 13 Bankruptcy Attorney – David S. Clark

If you are an Auburn or Opelika, Alabama resident searching for a new start with Chapter 7 or Chapter 13 personal bankruptcy, David S. Clark has years of experience serving this community. Contact David S. Clark today for more information!

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Sep 11
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Who is The “Best” Bankruptcy Attorney in Opelika?

By Bankruptcy Law No Comments

David S. Clark, an experienced Chapter 7 & Chapter 13 bankruptcy attorney breaks down how to find the best personal bankruptcy attorney for your unique financial situation.

Bankruptcy often goes hand in hand with many overwhelming financial burdens like expensive medical bills, credit card debt, divorce, job loss, or other unexpected expenses. 

Thankfully, declaring bankruptcy does not mean the end of your finances forever–if anything, it means a fresh start. While this is true, Chapter 7 and Chapter 13 bankruptcy take time and knowledge of the local Opelika, Alabama bankruptcy laws. Thankfully, you don’t have to do it alone! A dedicated Chapter 7 or Chapter 13 bankruptcy attorney can not only fight for you but help guide you through the confusing personal bankruptcy process. 

But, who is the “best” bankruptcy attorney? Ultimately, instead of looking for the “best”, look for the “right” bankruptcy attorney for your unique financial situation. Here is a breakdown of how to find the best personal bankruptcy attorney for you from David S. Clark, an Opelika bankruptcy lawyer offering Chapter 7 and Chapter 13 bankruptcy. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Find a Bankruptcy Attorney with Dedication to Your Needs

More than anything, make sure that the bankruptcy attorney you decide to go with is not only experienced in the main chapters of personal bankruptcy (Chapter 7 and Chapter 13) but also compassionate towards your difficult financial situation. A dedicated attorney should alleviate stress, not add to it. 

Also, don’t make your decision solely on affordability. Bankruptcy, especially under Chapters 7 and 13, requires careful preparation and understanding of Alabama bankruptcy law. Misunderstandings of the law or making crucial mistakes in the process could be the difference in the success or failure of your bankruptcy case. 

Look for Local Experience in Chapter 7 & Chapter 13 Bankruptcy

While Chapter 7 and Chapter 13 both fall under “personal” bankruptcy in Alabama, there are a few major distinctions. The biggest difference is that Chapter 7 focuses on discharging “unsecured” debt such as credit cards, personal loans, or medical bills while Chapter 13 allows you to catch up on “secured” debts like your home or car while also discharging any unsecured debt.

Beyond having familiarity and experience with the distinctions of bankruptcy laws, a bankruptcy attorney should also be local. By hiring an attorney like David S. Clark, who is local to Auburn and Opelika, Alabama, you can have faith knowing they will use their knowledge of the local court procedures and personnel to your benefit.

The Difference with David S. Clark – Your Personal Bankruptcy Attorney

So, while there is technically no answer to who the “best” bankruptcy attorney is, through these helpful considerations, we hope that your path to financial peace is closer than ever before. 

For more information on how the experienced team at David S. Clark can help you recover from financial ruin with Chapter 7 or Chapter 13 bankruptcy in Auburn or Opelika contact David S. Clark today!

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Aug 27
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Back to Basics: What is Chapter 7 Bankruptcy

By Chapter 7 Bankruptcy No Comments

David S. Clark takes you “back to basics” with Chapter 7 bankruptcy.

Next up in our “Back to Basics” series, we want to break down one of the most common forms of personal bankruptcy: Chapter 7. Ultimately, Chapter 7 bankruptcy offers a fresh start to residents across Alabama by discharging most unsecured debts (we’ll explain what this means below). So, if you’re an Opelika, Alabama resident seeking freedom from overwhelming debt, here is how Chapter 7 bankruptcy could help from David S. Clark, a personal bankruptcy attorney in Opelika, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

What is Chapter 7 Bankruptcy?

Chapter 7 bankruptcy, also known as “liquidation bankruptcy”, is designed for individuals who are unable to repay their debts. Unlike Chapter 13, this specific chapter of bankruptcy isn’t based on a personalized repayment plan. Yet, it is essential to note that Chapter 7 does not discharge every single debt, instead it typically only clears “unsecured” debts which includes (but is not limited to) the following: 

  • Credit Card Balances
  • Medical Bills
  • Personal Loans
  • Utility Bills

Also, in return to this discharge, the bankruptcy trustee may sell some of your non-exempt assets to pay off your creditors.

How Does Chapter 7 Bankruptcy Work?

In terms of the timeline of events, Chapter 7 always begins with a petition to a local bankruptcy court. In this case, in Opelika, much like the rest of Alabama, this petition for bankruptcy also requires you to provide detailed information about your unique financial situation. This must include your income, expenses, assets, debts, and more. Ultimately, this information will be used to determine if you qualify for Chapter 7 bankruptcy under the “means test”. 

The means test compares your income to the median income for a household of your size in Alabama. If your income is below the median, you typically qualify for Chapter 7. If your income is above the median, you may still qualify, but you’ll need to provide additional information to demonstrate that you can’t afford to repay your debts under a Chapter 13 repayment plan (the other chapter of personal bankruptcy).

Once your petition is filed, an automatic stay goes into effect, preventing creditors from pursuing collection actions against you. This means that creditors must stop calling, sending collection letters, or initiating lawsuits while your bankruptcy case is pending.

What Happens to Your Assets?

Typically, and understandably so, one of the most common concerns of bankruptcy is the potential loss of assets. Thankfully, while it’s true that your appointed bankruptcy trustee may sell some of your property to pay off unsecured debts, many assets are protected by Alabama law. These exemptions can include your home, car, personal belongings, and certain retirement accounts. Yet, every bankruptcy case is different, so it is essential to work with an experienced bankruptcy attorney who can help you understand further. 

How Long Does Chapter 7 Bankruptcy Take?

The Chapter 7 process is relatively quick compared to other forms of bankruptcy. Most cases are completed within four to six months from the date of filing. After your case is discharged, you are no longer legally obligated to repay the discharged debts, allowing you to focus on rebuilding your financial future.

David S. Clark – Your Chapter 7 Bankruptcy Attorney in Alabama

In conclusion, if you’re struggling with the weight of debt, Chapter 7 bankruptcy may be the second chance you need to find financial freedom. Yet, it is essential to seek advice from a dedicated personal bankruptcy attorney throughout this process. That’s where a local Chapter 7 and Chapter 13 bankruptcy attorney like David S. Clark can provide the help you need! 

If you’re ready to start the journey towards financial freedom, contact the team at David S. Clark in Opelika, Alabama today! 

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Aug 12
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Back to Basics: Chapter 13 Bankruptcy

By Chapter 13 Bankruptcy No Comments

David S. Clark takes you “back to basics” with a breakdown of Chapter 13 bankruptcy

Bankruptcy can be a daunting word, but it can also be the best way to regain financial control. If you’re an Opelika or Auburn, Alabama resident and seeking an escape from the weight of overwhelming debt, here is a quick and easy breakdown on Chapter 13 bankruptcy from David S. Clark, a Chapter 7 and Chapter 13 bankruptcy attorney in Opelika, Alabama. 

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

What is Chapter 13 Bankruptcy?

Often referred to as a “wage earner’s plan”, Chapter 13 bankruptcy is a chapter of personal bankruptcy that allows individuals with an income to establish a plan to repay all or parts of their debt. This functions differently than Chapter 7, which involves liquidating certain assets, like a house or car, to pay off debts. Essentially, Chapter 13 allows you to keep your property and assets while consolidating your debt into monthly payments, typically over the course of 3 to 5 years. 

How Does Chapter 13 Work?

Before moving forward with Chapter 13 bankruptcy, it is essential to find a Chapter 13 bankruptcy attorney who understands your unique financial situation. Furthermore, a local Alabama bankruptcy lawyer will understand the often complex nature of bankruptcy, providing you with valuable information, encouragement, and help. 

So how does it work? Ultimately, when you file for Chapter 13 bankruptcy in Opelika, the process begins with a petition to the bankruptcy court. This is also where you must provide a detailed financial report that includes your assets, liabilities, income, expenses, and a proposed repayment plan.

As mentioned above, the repayment plan typically lasts between three to five years, with the exact timing depending on your income level. During this time, you will make monthly payments to a dedicated bankruptcy trustee, who then distributes the funds to your creditors according to the court-approved repayment plan. 

Who Qualifies for Chapter 13 Bankruptcy?

Unfortunately, this question isn’t as simple as it may seem. Bankruptcy is a complicated and unique option for every individual struggling with debt. So, it is crucial to talk to your dedicated Chapter 13 bankruptcy attorney about your options, and if you qualify for those options before moving forward. 

Benefits of Chapter 13 Bankruptcy

Filing for Chapter 13 bankruptcy in Auburn or Opelika, Alabama offers several key benefits:

  1. Asset Protection: Unlike Chapter 7, you can keep your home, car, and other assets while repaying your debts over time.
  2. Debt Consolidation: Chapter 13 consolidates your debt into one monthly payment, simplifying your finances and providing much-needed relief. 
  3. Foreclosure Prevention: Chapter 13 stops foreclosure proceedings, allowing you to catch up on your mortgage.
  4. Reduced Creditor Harassment: Once you file for bankruptcy, an automatic stay is put in place, preventing creditors from harassing you or attempting to collect debts.

Is Chapter 13 Right for You?

Much like the rest of this blog, this question requires time and effort to figure out. Yet, don’t be intimated by it! You don’t have to walk through this process of reaching financial freedom alone.

In conclusion, Chapter 13 bankruptcy is a powerful tool for those who are committed to repaying their debts but need more time or flexibility. David S. Clark is a bankruptcy attorney who not only understands the need for that flexibility but strives to fight alongside you. 

If you’re searching for a Chapter 13 bankruptcy attorney in Opelika, Alabama, look no further than David S. Clark. Ready to get started? Reach out to David S. Clark today! 

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Jul 31
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How Chapter 7 Bankruptcy Can Help in Auburn, Alabama

By Bankruptcy Law, Chapter 7 Bankruptcy No Comments

Bankruptcy is quite common throughout the country, as well as Alabama specifically. In Auburn, Chapter 7 Bankruptcy is one the most common forms of bankruptcy, and many residents file Chapter 7 Bankruptcy in Auburn every year.

Auburn residents who face crippling financial debt may see few ways forward. Thankfully, even when your debt can seem too large to overcome, there are safeguards in place, including Chapter 7 Bankruptcy, that allow for a fair and effective way to help get you back on your feet. Let’s take a closer look at how Chapter 7 Bankruptcy can help in Auburn, Alabama.

DISCLAIMER: The following blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

Need Bankruptcy Help? Call David S. Clark

Chapter 7 Bankruptcy in Auburn, Alabama

Bankruptcy is quite common throughout the country, as well as Alabama specifically. In Auburn, Chapter 7 Bankruptcy is one the most common forms of bankruptcy, and many residents file Chapter 7 Bankruptcy in Auburn every year. Essentially, Chapter 7 Bankruptcy is an option for Auburn residents who accumulate debt to a point that is beyond control, where they cannot afford to pay their debt off. When this occurs, Auburn residents can consider Chapter 7 Bankruptcy, which gives them a way to start again and unburden themselves from the crippling weight of debt.

How Chapter 7 Bankruptcy Works in Auburn

Chapter 7 Bankruptcy works to alleviate debt that has been accumulated to the point where you cannot repay it. It does this by liquidating your assets in an effort to pay down these debts, allowing for you to move forward without facing further legal actions and wage garnishments. By liquidating your assets, Chapter 7 Bankruptcy pays down as much of your debt as possible, and with the help of the courts and trustees, it creates a path forward that is fair for both the debtor and the one who is owed. 

Auburn Bankruptcy Attorneys

With the help of experienced bankruptcy attorneys in Auburn, navigating the process of bankruptcy can be greatly simplified. Trusted and experienced bankruptcy attorneys in the area will know the ins and outs of bankruptcy law and the legal process revolving around it, so they are able to guide you through the process in a way that serves your best interest. They will also be able to advise you regarding your debt and seeing if there is a way to avoid bankruptcy altogether. Because of their experience in the field and knowledge of how bankruptcy can sneak up on well-meaning Auburn residents, Auburn bankruptcy attorneys will also be equipped with advice on how to build financially responsible habits and avoid bankruptcy in the first place. 

David S. Clark: Auburn’s Chapter 7 Bankruptcy Attorney

If you are an Auburn resident who has accumulated overwhelming debt that can no longer be managed or effectively paid down, turning to the experts at David S. Clark is a great next step to take. We can advise you on strategic financial decisions that may be able to help you avoid bankruptcy. However, when chapter 7 bankruptcy is in your future, there is no one more capable to represent you and guide you through the bankruptcy process than David S. Clark.

Our office is located in Opelika, and we serve the needs of Auburn residents who face bankruptcy and need help. We can guide you through the complicated process step by step. Contact us today for more information on chapter 7 or chapter 13 bankruptcy in Auburn, or to schedule a free consultation at our office in Opelika.

Come see Auburn’s Chapter 7 Bankruptcy Attorney, David S. Clark, and begin the journey to regaining financial stability today.

DISCLAIMER: The above blog post is just advice, and you will be better served to call David S. Clark with your bankruptcy questions. This blog contains helpful tips and advice, but is not professional legal advice, and shouldn’t treated as such.

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