Put Your Trust in a Bankruptcy Attorney | Conway Arkansas
Bankruptcy is hard. It’s a perplexing financial situation that leaves you more in the dark than anything else, without help that is. If you’re struggling to find steps toward a clean, debt-free future in the face of overdue bills, constant reminders, and unwanted calls, know that you can and will find a way out.
In the state of Arkansas, bankruptcy law can come with a few confusing stipulations: what kind to file, how quickly, and with who.
Luckily, WH Law’s trusted Conway AR bankruptcy lawyers are equipped with the kind of insider knowledge necessary to lay everything out full stop.
Chapter 7, 13, or a combination of both, our Arkansas bankruptcy attorneys will clearly define your pathway to freedom with facts, expertise, and ready-for-action solutions. Although we may not know what that looks like, we’re happy to be your go-to Arkansas law firm for financial recovery.
Get debt relief by first understanding your state’s bankruptcy laws:
Why You Might File for Bankruptcy
For most people who turn to bankruptcy, they just can’t see over or around their debt. Whether it’s medical, business-related, or credit card debt, you can find a way through by properly understanding what you’re dealing with.
Get your fresh start by looking at your debt. Is it something you can overcome with a payment plan, or are you looking at a more serious, life-altering situation? Understanding the level of debt you’ve accrued can help you make an informed decision about your finances and file with confidence.
If your request to file has, for some reason, been blocked, don’t back away. Call our bankruptcy law firm Conway Arkansas, for help in protecting your rights, including those carefully defined by your state.
You’re entitled to file for bankruptcy of any kind under the following circumstances:
- Unemployment or Reduced Income
- Debt That Cannot Be Solved by Repayment Alone
- Overwhelming Medical Expenses
- Consistent Collection Efforts
- Divorce or Separation
If your situation looks a bit different, talk to us about scheduling a consultation. There’s a chance you don’t have to rely on bankruptcy completely to feel a sense of freedom. If you do however qualify for bankruptcy, we promise to survey your assets properly.
How to File
Once our chapter 7 lawyers in Arkansas have determined whether or not you’re a good fit for filing, we’ll set up a personalized plan to relieve your debt in a way that works for you: quickly, over time, or with the help of a few experts. We start by determining which kind of bankruptcy your debt falls under, choosing from:
Chapter 7: Chapter 7 bankruptcy, plainly stated, is a form of liquidation. You’re actively choosing to release your assets to the collector, clearing you of both upcoming payments and impending debt. You will, however, be releasing full control over each asset so they can sell them.
Note that chapter 7 is only suitable for those who cannot make regular payments or who do not make enough money to do so.
Chapter 13: Think of Chapter 13 bankruptcy as a glorified payment plan. Borrowers have three to five years to pay their lenders back under specific guidelines. This is best suited to borrowers with a steady way to make payments.
With the knowledge you need to go forward, you can file with the U.S. Bankruptcy Court within your state or county. Most processes will require you to complete credit counseling as an initial step, so be prepared to undergo a few weeks of classes from an approved agency.
Note: This must be done within 180 days of your initial filing to be valid.
The Bankruptcy Process in Arkansas
Once your declaration has made its way to the court, you’ll need to pay an initial fee for filing. If you know that you won’t be able to pay the fee, talk to us. We want you to get your life back as quickly as possible.
Post-filing, you’ll be assigned a trustee by the court who will oversee your case, guiding you toward the relief you need by step. They will need your full financial history in writing so that they can give that information to the court and create a plan with your creditor.
You’ll go through these additional steps to make your way through the legal process and toward an appeal that the court takes seriously:
- Mail all necessary documents to your trustee
- Attend a meeting with your trustee and creditor(s) to verify your finances/goals
- Complete a follow-up financial literacy course as required by the court
- Then, you will receive your formal bankruptcy charge in the form of a letter.
State vs. Federal Systems
Although your case may have unfolded under state law, all bankruptcy cases are governed by federal law. This means that the federal or U.S. courts determine if you’re eligible to file for bankruptcy, not the state.
Now, even with the oversight of the federal government, there are two exemptions that could allow you to customize your filing experience according to your goals:
Homestead Exemption: This option is automatically applied to residents; you simply have to opt out of it. The homestead exemption gives homeowners the ability to protect their investment through liquidation. How much will be kept is based on the type of property it is and its value.
Federal Exemption: If you’re a renter or someone with lower-value assets, we recommend going with a federal exemption. This way, you can keep your smaller assets, such as vehicles or additional belongings.
Get Ahead of Your Debt with a Conway AR Bankruptcy Lawyer
Even when life tests you, with all that it’s got, it goes on. And so do the ins and outs of bankruptcy law. This is why partnering with a law firm that truly understands your needs is essential in getting a fair and true case.
You don’t want to walk away with piles of undisputed debt you don’t even understand. When the bills start to pile up and you just can’t see a cloud in sight, call us. A Conway Arkansas bankruptcy attorney will get to work right away so you can go back to being the version of you you deserve: debt-free.
