Having a lot of debt, pending bills, and no method of repaying them can be very frustrating and stressful. No one wants to lose property or risk foreclosure on their home due to financial challenges. Most people get into financial trouble because they spend beyond their earning capacity. Filing for bankruptcy is not for everyone, but there are many cases where it is necessary. Bankruptcy lawyers deal with bankruptcy in Harrisburg daily and can guide you through the process. The bankruptcy process is extremely difficult and involves producing reports, gathering evidence, and filling out many forms. Bankruptcy lawyers are experts in the area of financial management and should be able to assist by providing you financial management guidance.
There are three types of bankruptcy. Chapter 7 bankruptcy is the most common type of bankruptcy and gives you a fresh start by completely discharging all of your debt. You also get keep your owned assets in most cases. Chapter 7 bankruptcy can be filed individually or jointly. The goals of Chapter 7 bankruptcy are debt relief and discharge of debts. Discharge is the term used to describe the release from a debt that a debtor receives in a bankruptcy proceeding. Chapter 11 bankruptcy is primarily used by businesses. It is the most complex and time consuming of the types of bankruptcy. Chapter 11 bankruptcies make up less than 1% of all bankruptcies filed, but account for as much as 90% of the time use in bankruptcy court in each jurisdiction. It allows businesses to retain their assets and restructure debts. Chapter 11 bankruptcy can last for several years, which will allow a business the opportunity to get into a profitable position. Chapter 13 bankruptcy allows you to repay a specified amount while retaining non-exempt assets. You should use this option if you have fallen behind on mortgage payments or tax debts. In most cases, Chapter 13 protects your home from foreclosure and your car from repossession. Lawyers’ fees are not included in filing fees. Lawyers may charge different fees depending on the type of bankruptcy. If you are thinking about filing Bankruptcy in Harrisburg, contact a bankruptcy lawyer for professional advice.
