Arkansas Bankruptcy Lawyers Helping Clients Find A Fresh Start
The thought of declaring bankruptcy may be scary, but it is really helpful if you’re in too much debt. It can stop the calls and get you back on top.
The issue is that debt can pile on quickly, and unfortunately, it’s often quicker than people can afford to pay in times of crisis. This leaves people in a vulnerable position where they fear making monthly payments and wonder how they’ll ever be financially secure again. Severe cases of debt can result in repossession and foreclosure.
In a situation like this, a person might start considering solutions to get out of debt, like bankruptcy. It’s often the most viable option, and we want to eliminate any negative perceptions you may have with this valuable debt management tool.
What Is Bankruptcy?
When you owe more than you can afford, it’s time to think about bankruptcy. It’s worth noting that not everyone who is in debt is bankrupt: there must be a significant difference between what you pay and what you owe.
The concept of bankruptcy is not nearly as terrible as it appears. Although it’s not something to be taken lightly, it is a solution that allows people to get out of debt while also treating creditors fairly. If you have an excessive amount of debt, it may be able to assist you to solve many issues.
In Bankruptcy, the law takes your secured debts, unsecured debts, the debtor’s income, the debtor’s property, and the overall financial affairs in order to determine under the bankruptcy code what bankruptcy relief is available.
Who Can File For Bankruptcy?
Should I File For Bankruptcy?
This is a great question to ask a bankruptcy attorney. Living in debt is something most people experience, but there’s a line between making monthly payments and drowning from those payments. If you’re fearful of how much debt you owe and are considering filing voluntarily, start by asking these questions:
- Do you only make minimum payments?
- Are bill collectors frequently calling you?
- Do you use credit cards to pay for necessities?
- Have you lost track of how much you owe?
- Are you behind on secured debt (hour or car)?
- Do you have a wage garnishment?
If you answered “yes” to these questions, then it’s time to reevaluate your financial situation. It might also be time to consult with a lawyer who can help you navigate through declaring bankruptcy.
Bankruptcy can be filed in one of two ways: you can voluntarily file, or creditors will ask the court to order you bankrupt. It’s always best to come forward and acknowledge the situation you’re in, and to do so you need to understand the types of bankruptcy.
Arkansas bankruptcy attorneys can look at your eligible debts and nonexempt property and let you know what debt relief options are available in bankruptcy laws.
What Are the Different “Chapters”?
Get Help With Your Bankruptcy Case Today!
Arkansas uses Chapter 7 (liquidation) and Chapter 13 (reorganization) as its two most popular bankruptcy chapters. It’s all about figuring out which bankruptcy chapter is ideal for you in order to recover your life and get your financial independence back. In your free no-obligation consultation, we can assist you in determining which debt relief option is best for you.