Minneapolis Bankruptcy Attorneys Can Help You
Nothing is sure or permanent in life and, sometimes, things don’t happen the way we want or expect them to. We cannot control everything and certain responsibilities can start to overcome us. Healthcare costs, emergency credit card usage, and other such problems are just a part of modern life that can make us feel as if we are drowning in debt. So what do we do?
Financial lawyers, like us at Walker & Walker Law Offices, PLLC, understand your experiences and want to help. Declaring bankruptcy will allow you to get a hold of your financial situation while giving you peace of mind knowing that every time the phone rings, the person on the other end will not be a bill collector paid to harass you.
So, what do you need to know to prepare yourself for the filing process?
Do I Qualify For A Chapter 7 Bankruptcy?
Many people will qualify for bankruptcy and few will not be based on a few financial details. For example, the bankruptcy means test is a way to determine a person’s financial situation and culpability by comparing the family’s monthly income with their state’s median income level of a family the same size as yours.
If your income does not reach that median income level, then you may qualify for a Chapter 7 bankruptcy which eliminates your debts, giving you more of a clean start. The rules for filing Chapter 7 are stringent and must fall within all guidelines set up to protect the system from fraud. For example, you cannot have any other bankruptcy discharges within the last six to eight years if you want to qualify for aid in any form.
If you make too much money to file Chapter 7 then you have another option.
How Do I Qualify For A Chapter 13 Bankruptcy?
Chapter 13 Bankruptcy, on the other hand, is different and much more complex because the detailed process culminates in a repayment plan that lasts from three to five years, even if that amount of time does not pay off the entire debt. The basic principle of Chapter 13 bankruptcy is that you show that you want to make a serious and realistic effort to uphold your responsibility to pay off your debt.
There is also a Chapter 13 bankruptcy means test that studies your debt-to-income ratio along with your amounts of secured and unsecured debt. If you make too much money for a Chapter 7, then Chapter 13 is the next step if you can qualify.
No matter what, it is highly suggested and even essential to get the advice of a financial attorney, such as a member of our elite legal team at Walker and Walker. A great financial lawyer will make sure that you file for the correct forms of bankruptcy and can even help you collect and organize the paperwork you will have to gather to apply.
What Happens After?
Bankruptcy generally improves peoples’ financial stability. The number one thing that clients tell me after filing is that they should have done it sooner.
Many people don’t talk about what happens after bankruptcy because they feel the burden of the social stigma some people attach to the subject in general. The fact is that there are rules and restrictions to follow after-the-fact that you should be aware of, but they aren’t world-shaking and detrimental roadblocks.
It may be difficult at first to buy a home or rent an apartment for a couple of months after being discharged due to the usual credit checks done by landlords and banks. Know that there are plenty of people, especially at the bank, who understand your situation and are willing to overlook what is truly a responsible approach to solving your monetary problems. You can qualify for an FHA loan ninety days from discharge, for example.
You also won’t have to pay taxes on any debt discharged and you can immediately get your utilities turned back on. You can get a new credit card and get personal loans to buy a car after bankruptcy. It is illegal for potential landlords and employers to discriminate against you based on your bankruptcy status, though it could happen.
All in all, studies have shown that, in general, life can be pretty positive after a discharge. People have lived longer, made more money, and have retained more assets after Chapter 13, specifically. Recidivism is low and a knowledgeable and caring financial attorney can help make this possible.
Where Can I Find A Great Bankruptcy Attorney?
Bankruptcy law firm, Walker & Walker Law Offices, PLLC has offices in Minneapolis, Brooklyn Park, St. Paul, and Blaine. We would like to help you get a fresh start and STOP predatory phone calls and letters from creditors by eliminating your debt while saving what is essential to you: your wages, your home, your transportation, your reputation, and your future.
Contact Walker & Walker Law Offices for further information and questions about Your Fresh Start and begin constructing your new, clean future, TODAY! Our phones are always answered by knowledgeable and trusted members of our team who make sure to contact you as soon as humanly possible if we happen to miss your call.
Evening, weekend, and phone conferences are always available and we will always return emails and online form submissions immediately during regular business hours. Initial consultations are always free.
We’re here to guide you into your new life. Give us a call, we’re always here to help!