Each year, millions of people make the decision to file for bankruptcy, but most of them have no idea about the differences between the types of bankruptcies and which one would work best for their particular situations. In fact, only a competent and experienced attorney can help you make this all-important decision, which is why it is always recommended that you seek out their advice before making a final decision.
Types of Bankruptcy
There are two main types of bankruptcy: chapter 7 and chapter 13. Because chapter 13 bankruptcy usually works best for people who can meet their day-to-day expenses and can repay at least some of their debts, many people have to choose chapter 7 bankruptcy instead. Finding a lawyer who specializes in chapter 7 bankruptcy at The Law Firm of Samuel F. Trussell in Palm Desert, CA is easy to do because there are numerous attorneys who know the ins and outs of bankruptcy and can help you through the often tedious process.
Why Chapter 7?
Chapter 7 bankruptcy is a way to eliminate most of your debt with only a few exceptions, and it is the best option for those who are greatly over-extended, either through their actions or because of situations beyond their control. Not all chapter 7 bankruptcy procedures are the same, which is why it takes the assistance of a qualified attorney to complete the filing. To file for a chapter 7 bankruptcy, you must qualify, meaning that you must pass a “means” test. Your attorney can explain this in further detail, but in essence, if you can no longer afford to pay your debts, chapter 7 is usually the way to go. In part because with chapter 13 bankruptcy you will be required to repay your debts over time through a debt repayment plan developed by the court. Either way, your creditors will be required to stop trying to collect their debts, which immediately eliminates the stress of having to deal with creditor harassment.