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There are many bankruptcy options that consumers can use to get rid of their debts. While businesses can declare bankruptcy under chapters 7 or 11, individual debtors can do so under chapter 7 and 13. Since the former calls for liquidation of assets, and most people do not want to lose their valuables, the latter is usually the preferred option. When filing a chapter 13 Oakland residents should take their time to learn more about the process to ensure they know exactly what they are getting themselves into.
This option basically provides for reorganization of debt. Your total eligible debts are computed and a plan drafted on how the debt will be repaid. This is a better option than having your assets sold to pay off your debts. The beauty of this bankruptcy option is that the payments are usually convenient and based on what you can afford, not the size of your debt.
There are many benefits that both debtors and creditors can enjoy from this option. For instance, creditors get a chance to recover more of their funds. Secondly, debtors can avoid having their assets liquidated by the trustee. This will save them a lot of embarrassment.
In this bankruptcy process, the debtor is required to write a plan to repay their debts. For instance, they must state their monthly income and state how much they are able to pay comfortably every month. The plan must then be presented to creditors as well as the court for approval. If approved, the debtor will be declared bankrupt and get all the legal protections provided under the bankruptcy laws.
This type of bankruptcy has many advantages, but it also has shortcomings. For instance, if the debtor defaults on the repayment plan, the trustee will convert that option into liquidation under chapter 7. The trustee will simply start liquidating the assets of the debtor to pay off their debts. To avoid this, debtors need to hire a competent lawyer and strive to make the required payments.
Once you are declared bankrupt, any communication or payments you make must be made through the trustee. This is because creditors will be barred from having any sort of communication with you. If they do, you can report them in court and action will be taken against them. This is one of the main advantages of becoming bankrupt as creditors will no longer be able to bother you.
There are some disadvantages of filing bankruptcy that you should know about before you file the necessary paperwork. First of all, you will be listed on public records as a bankrupt consumer. This will be a huge blow because you will not be able to access affordable loans, rent a decent home or get a better job. Furthermore, neighbors may learn about your situation and look at you differently. These are some of the things you should know about.
When searching for a bankruptcy lawyer in Oakland CA, it is important you pay attention to their experience. The number of cases as well as the number of years a lawyer has been in business should be strongly considered. Be sure to also do some research on the reputation of a lawyer before hiring them. Reputation is a crucial factor to consider as you want to work with a respected lawyer to improve your chances of getting the desired outcome from the case.
This option basically provides for reorganization of debt. Your total eligible debts are computed and a plan drafted on how the debt will be repaid. This is a better option than having your assets sold to pay off your debts. The beauty of this bankruptcy option is that the payments are usually convenient and based on what you can afford, not the size of your debt.
There are many benefits that both debtors and creditors can enjoy from this option. For instance, creditors get a chance to recover more of their funds. Secondly, debtors can avoid having their assets liquidated by the trustee. This will save them a lot of embarrassment.
In this bankruptcy process, the debtor is required to write a plan to repay their debts. For instance, they must state their monthly income and state how much they are able to pay comfortably every month. The plan must then be presented to creditors as well as the court for approval. If approved, the debtor will be declared bankrupt and get all the legal protections provided under the bankruptcy laws.
This type of bankruptcy has many advantages, but it also has shortcomings. For instance, if the debtor defaults on the repayment plan, the trustee will convert that option into liquidation under chapter 7. The trustee will simply start liquidating the assets of the debtor to pay off their debts. To avoid this, debtors need to hire a competent lawyer and strive to make the required payments.
Once you are declared bankrupt, any communication or payments you make must be made through the trustee. This is because creditors will be barred from having any sort of communication with you. If they do, you can report them in court and action will be taken against them. This is one of the main advantages of becoming bankrupt as creditors will no longer be able to bother you.
There are some disadvantages of filing bankruptcy that you should know about before you file the necessary paperwork. First of all, you will be listed on public records as a bankrupt consumer. This will be a huge blow because you will not be able to access affordable loans, rent a decent home or get a better job. Furthermore, neighbors may learn about your situation and look at you differently. These are some of the things you should know about.
When searching for a bankruptcy lawyer in Oakland CA, it is important you pay attention to their experience. The number of cases as well as the number of years a lawyer has been in business should be strongly considered. Be sure to also do some research on the reputation of a lawyer before hiring them. Reputation is a crucial factor to consider as you want to work with a respected lawyer to improve your chances of getting the desired outcome from the case.
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When you are looking for facts regarding Chapter 13 Oakland locals can come to our web pages online today. More details are available at http://centralcoastbankruptcy.com/chapter-13.html now.
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