Distressed consumers with too much bad debt can get legal protection through different types of bankruptcies. By petitioning the court to declare them bankrupt, debtors can get legal protections that will not only give them peace of mind, but also provide a pathway for debt forgiveness. When thinking about bankruptcy Santa Cruz residents should take their time to look for a suitable lawyer to advise them appropriately.
If you want to become bankrupt, you should not make any move without consulting a competent lawyer. The ideal attorney must have handled many similar types of cases in the past. The lawyer will tell you everything you need to know about the process and help you with the paperwork. When you have a competent legal adviser by your side, you can be assured of getting positive results time and again.
There are three main types of bankruptcies. These are chapters 13, 11 and 7. All these chapters are meant for different types of debtors, so be sure to learn more about them before choosing any particular chapter. Whichever option you choose, you can expect your debts to be forgiven and creditors prevented from harassing you in any way in a bid to recover their funds.
If you are an individual debtor, there are two options that you can consider. For starters, you can seek to be declared bankrupt under chapter 7, in which case your assets will be sold to pay off your debts. Alternatively, you can seek to become bankrupt through chapter 13, in which case you will be asked to draft a plan on how you are going to pay part of your debt with regular monthly installments.
Corporate debtors, businesses or any legal entity with a lot of debt can use either chapter 7 or chapter 11 to get rid of their debt. Chapter 7 provides for liquidation of property owned by the debtor while chapter 11 provides for restructuring of debt. If you are a corporate debtor, you can only qualify for chapter 11 if you have a reliable income source.
There are several major benefits of using bankruptcy chapters to deal with your debt problems. The first is that most of your debts will be written off. Secondly, the courts will prevent all your creditors from communicating with you directly. Any communication must go through the trustee. This means that you will be able to get peace of mind.
While you can get protection from creditors and debt forgiveness by becoming bankrupt, there are some cons that you should know about. For starters, you will be blacklisted by creditors. After all, your credit report will show that you are bankrupt. This means that no lender will be willing to lend you some money. Those that may be willing to do so may quote higher-than-normal interest rates and processing fees.
Once you have been declared bankrupt, you may not be able to rent a car. This is because most firms nowadays carry out credit checks before handing over keys to their clients. If you would like to live in a highly sought after rental building, your application will be rejected by the property manager or the landlord. This is because a credit check will show that you are bankrupt, which is a sign of financial irresponsibility.
If you want to become bankrupt, you should not make any move without consulting a competent lawyer. The ideal attorney must have handled many similar types of cases in the past. The lawyer will tell you everything you need to know about the process and help you with the paperwork. When you have a competent legal adviser by your side, you can be assured of getting positive results time and again.
There are three main types of bankruptcies. These are chapters 13, 11 and 7. All these chapters are meant for different types of debtors, so be sure to learn more about them before choosing any particular chapter. Whichever option you choose, you can expect your debts to be forgiven and creditors prevented from harassing you in any way in a bid to recover their funds.
If you are an individual debtor, there are two options that you can consider. For starters, you can seek to be declared bankrupt under chapter 7, in which case your assets will be sold to pay off your debts. Alternatively, you can seek to become bankrupt through chapter 13, in which case you will be asked to draft a plan on how you are going to pay part of your debt with regular monthly installments.
Corporate debtors, businesses or any legal entity with a lot of debt can use either chapter 7 or chapter 11 to get rid of their debt. Chapter 7 provides for liquidation of property owned by the debtor while chapter 11 provides for restructuring of debt. If you are a corporate debtor, you can only qualify for chapter 11 if you have a reliable income source.
There are several major benefits of using bankruptcy chapters to deal with your debt problems. The first is that most of your debts will be written off. Secondly, the courts will prevent all your creditors from communicating with you directly. Any communication must go through the trustee. This means that you will be able to get peace of mind.
While you can get protection from creditors and debt forgiveness by becoming bankrupt, there are some cons that you should know about. For starters, you will be blacklisted by creditors. After all, your credit report will show that you are bankrupt. This means that no lender will be willing to lend you some money. Those that may be willing to do so may quote higher-than-normal interest rates and processing fees.
Once you have been declared bankrupt, you may not be able to rent a car. This is because most firms nowadays carry out credit checks before handing over keys to their clients. If you would like to live in a highly sought after rental building, your application will be rejected by the property manager or the landlord. This is because a credit check will show that you are bankrupt, which is a sign of financial irresponsibility.
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You can get valuable tips for picking a bankruptcy Santa Cruz attorney and more information about an experienced lawyer at http://www.centralcoastbankruptcy.com now.
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