Gain Control of Your Finances with Help from a Chapter 7 Bankruptcy Attorney in Wetumpka, AL

A job loss, an illness, or even emergency car repairs can seriously complicate a person’s ability to keep up with their bills and debts. Once a person begins to fall behind on payments, the problems begin to snowball into a very difficult situation. Many people in this situation face harassing calls from creditors, have limited ability to get new credit, and may even have difficulties getting a new job or home due to a low credit score. A Chapter 7 Bankruptcy Attorney in Wetumpka, AL can provide options to help in this situation.

Is Bankruptcy the Right Option?

Bankruptcy is a serious legal process that can have lasting effects on a person’s credit rating. This option is not always the best route, especially if the debt can be managed in other ways. However, there are some situations where bankruptcy is the best option. It can provide a person with the chance to start fresh and gain better control of their finances. A Chapter 7 Bankruptcy Attorney in Wetumpka, AL can provide guidance in determining if bankruptcy is the best option.

How to Qualify for Chapter 7 Bankruptcy?

Chapter 7 bankruptcy is an option limited to those who have little or no income to keep up with their debts. To qualify for this type of bankruptcy, a person must have an income below the state median income level or pass a means test that shows monthly expenses far outweigh their income. For those who do not pass the means test, chapter 13 bankruptcy is an option to restructure their debt.

What Happens in Bankruptcy?

In chapter 7 bankruptcy, debtors must pass the means test and complete a credit counseling course. It is also required that all income and debts be reported to the court. Any property outside of those items that are exempt will then be sold and the money used to pay off creditors. Any remaining debt is then discharged. This process requires a court appearance and a review of all information to be approved. Once complete, individuals can begin again with a clean slate and take better control of their finances.

Bankruptcy is not right for everyone. However, it can be the best option for some. To find out if bankruptcy is the right option, individuals can contact Courtney & Mann LLP on their Facebook page for a free consultation to see if bankruptcy is the best option.