Texas Bankruptcy — About Bankruptcy Debt relief
Bankruptcy is a debt relief option that can provide the opportunity to get a fresh financial start. Bankruptcy laws were designed to give honest people a new financial start, free from their burdensome debt. Bankruptcy has been around a long time and millions have filed for bankruptcy to get rid of debt or reorganize their finances. Just hearing the word "Bankruptcy" used to make people cringe. Filing for personal bankruptcy was once considered a moral wrong and one of the most embarrassing things you could do. Years ago, filing “Bankruptcy” was like branding a huge “B” on your forehead making you subject to public shaming as in Nathaniel Hawthorn’s novel the Scarlett Letter. This may be why so many people who actually need bankruptcy relief often struggle with the decision to file bankruptcy.
Contact the Texas Bankruptcy Lawyers at The Law Offices Of R.J.Atkinson to see if filing bankruptcy can help you to relieve your debt problems. Our Texas Bankruptcy Attorneys can provide you a free bankruptcy evaluation and a free bankruptcy means test to determine your bankruptcy relief options.
If you need debt relief and are struggling with the decision to file for bankruptcy, consider all the famous individuals that have filed bankruptcy to deal with their debt. You don’t have to be famous to get creditors to work with you on your terms. Filing bankruptcy puts you back in control of your finances and forces creditors to deal with their claims on your terms. This doesn't mean that the decision to file bankruptcy should be taken lightly, because it is a life changing decision, and one that should be contemplated with the assistance of an experienced Texas Bankruptcy Lawyer. An experienced Texas Bankruptcy Attorney can help you explore your bankruptcy options as well as your bankruptcy alternatives.
Bankruptcy isn’t what it once was and the badge of bankruptcy shame no longer exists. Thousands in Texas have filed bankruptcy and many more file every month. When you are facing foreclosure, repossession, a lawsuit, or if you have excessive credit card debt, medical bills, IRS tax problems, or any other financial problem, you might consider filing bankruptcy a s a debt relief option. Sometimes loss of employment, illness, financial mismanagement, business failure, or divorce can cause people in Texas to become overwhelmed by debt. When you’re faced with overwhelming debt, filing for bankruptcy may be the most practical thing to do in order to continue to support yourself and your family.
Most people who file for bankruptcy will have another chance to rebuild their credit after bankruptcy, and often do so very successfully. Reestablishing your credit after filing for bankruptcy has never been easier. If you read the paper, listen to the TV or radio, you’ll hears ads offering cars and even mortgages to those who have filed bankruptcy. Bankruptcy can allow you to make a fresh start of your finances by eliminating your debt. Bankruptcy can also allow you to reorganize or reduce your debt.
There are two basic types of bankruptcy available to people, which are Chapter 7, and Chapter 13. They are named for the chapters of the Bankruptcy Code for which they apply. Chapter 7 bankruptcy gets rid of most debts without paying anything to your creditors, and Chapter 13 bankruptcy is a court supervised repayment plan whereby you pay all or a portion of your debt to a court appointed trustee over a period of time, usually three to five years.
Chapter 7 Bankruptcy is best used when a person can’t realistically expect to repay a significant portion of their debts. Chapter 7 bankruptcy is commonly known as ‘straight bankruptcy' or liquidation bankruptcy, which means the court will sell any non-exempt assets to pay creditors. In most Chapter 7 cases the person filing usually keeps all of their property because Texas law allows debtors a generous amount of property which is exempt. Chapter 7 bankruptcy does not discharge all debts. Child support and other support obligations can’t be discharged, along with student loans, and some taxes. Your house & car payments must be current when filing a Chapter 7 or you will loose them. For many people in Texas, Chapter 7 Bankruptcy is the best way to get rid of debt, and keep most all of their property. To qualify for Chapter 7 Bankruptcy, you must pass the Texas bankruptcy means test.
Chapter 13 Bankruptcy is commonly used when a person is facing foreclosure, repossession, & back child support, and needs to catch up on missed mortgage, car payments, or support arrears. Chapter 13 Bankruptcy is sometimes called a wage earner's plan, or personal reorganization bankruptcy. Chapter 13 bankruptcy is quite different from a Chapter 7 bankruptcy. In Chapter 13 bankruptcy, your income is used to pay some or all of what you owe to your creditors over a period of 3 to 5 years, depending on your disposable income and the amount of your debt. Some creditors will be paid back in full with interest, such as mortgage companies or car lenders; while unsecured debts, such as credit cards & medical bills, will be repaid a percentage of the debt, from what’s left over. This often allows credit card debt to be paid pennies on the dollar while missed mortgage payments and car payments are paid in full. Chapter 13 Bankruptcy is also used by debtors who don’t qualify for Chapter 7 under the means test.
If you want to learn more about bankruptcy, contact the Texas Bankruptcy Attorneys at The Law Offices Of R.J.Atkinson. We have helped thousands get a fresh start in Bankruptcy and we might be able to help you.
If you live in Houston, Austin, San Antonio, Dallas, or anywhere in the State of Texas contact the Texas Bankruptcy Lawyers at The Law Offices Of R.J.Atkinson. An experienced Texas Bankruptcy Lawyer can help you decide if filing bankruptcy is the best option for you to get rid of your debt, significantly reduce your debt, or reorganize your debt.