While the complexities of bankruptcy naturally lead to many questions or concerns, it can be your ticket to a second chance financially.
If you’re an Auburn or Opelika resident struggling with the weight of debt, bankruptcy can seem like a daunting option. Yet, while the complexities of bankruptcy naturally lead to many questions or concerns, it can be your ticket to a second chance financially.
Whether you’re considering Chapter 7 or Chapter 13 bankruptcy as a way to manage your debt or simply want to learn more about the process, here are some of the most commonly asked questions about personal bankruptcy to better help you understand the process and make informed decisions about your financial future from David S. Clark, an experienced 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
Will I Lose My Home if I File for Bankruptcy?
Losing a valuable asset, such as a home, is a significant concern for many Alabama residents under the weight of enormous debt. Thankfully, the outcome of your home depends on several factors, including the type or “chapter” of bankruptcy you file for (as discussed below), the amount of equity in your home, and more.
If you file for Chapter 7 bankruptcy, your home may be at risk if you have a significant amount of equity in it. However, if you file for Chapter 13 bankruptcy, you may be able to keep your home as long as you continue making payments under the court-approved repayment plan.
Ultimately, when it comes to any chapter of bankruptcy, every case is going to be different, so it is essential to communicate with an experienced personal bankruptcy attorney on the best options that could protect your home.
Will Bankruptcy Stop Debt Collection Harassment?
Under Section 524 of the U.S. Bankruptcy Code, once your debt is discharged through bankruptcy, no one can take action against you. This protection, known as the “automatic stay,” is immediately enforced by the bankruptcy court when you file for bankruptcy.
The automatic stay prohibits creditors from contacting you about any discharged debt. They cannot call, email, visit, or make any attempt to collect a debt from you. However, it’s important to note that not all debts are discharged through bankruptcy.
When Should I File for Bankruptcy?
Unfortunately, when it comes to bankruptcy, there is no simple answer to this question as it depends on your individual circumstances. Generally speaking, if you’re struggling with overwhelming debt and are unable to make timely payments, it may be time to consider filing for bankruptcy.
Other instances could include situations where you’re facing foreclosure, wage garnishment, or constant harassment from creditors. However, it is important to note that filing for bankruptcy should not be taken lightly, and seeking the counsel of an experienced bankruptcy attorney first is essential.
David S. Clark – A Local Lawyer Dedicated to You
As mentioned throughout this blog, every personal bankruptcy case is different, especially when it comes to the complexities of Chapter 7 and Chapter 13 bankruptcy. Thankfully, you don’t have to navigate this challenging process alone.
If you are an Auburn or Opelika resident ready to file for Chapter 7 or Chapter 13 bankruptcy or simply seeking financial advice from an experienced bankruptcy attorney, contact David S. Clark, an experienced bankruptcy attorney 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.
