Bankruptcy Lawyer | The Benefits of Filing Bankruptcy (Pt.2)

When Bankruptcy Can Help

Liabilities Are More Than Assets

Bankruptcy Lawyer | Tayne advises on filing bankruptcy when consumers owe so much that their liabilities are far higher than the value of their assets. Why? Because in these cases, it can be impossible for a consumer to actually catch up to their debt.

“If income is far less than expenses, if there is no end in sight even if I help them cut their expenses, then bankruptcy might be the only option,” says Tayne. “If their income will never let them meet the requirements to pay even the minimal amount of what they owe each month? Then bankruptcy might be their only choice.”

Negotiations Don’t Work

It’s always advised that before you decided to file for bankruptcy, that you try to work things our with your creditors. Creditors are often inclined to help out consumers as long as consumers are active in doing so. Many creditors are able to reduce the amount of money owed if you are able to prove you are struggling financially. You might need to provide copies of your most recent paycheck stubs and bank statements, or anything that will prove that your income has fallen or that your savings are depleted to your creditors before they are able to offer assistance.

This is the first step you should take in trying to deal with debt.

But if your creditors are not willing to negotiate, the only option you may have is to file for bankruptcy protection.  After you file, your bankruptcy trustee will be responsible for negotiating with the people you owe. A lot of times, these professional negotiators are more able to convince creditors to forgive at least some of your debt.

A Job Loss or Serious Illness

Job loss or serious illness can be devastating – and not just emotionally, but also financially.

Bills and debt tend to pile up quickly during these times, which can make it impossible to generate the monthly income you were once used to.

If job loss, medical emergency, or other financial disaster has made it impossible for you to come up with a monthly income, and there is no way that you will be able to recover in a quick amount of time, then bankruptcy can provide the relief you might need to help you recover from these financial setbacks.

Working with a Bankruptcy Attorney

When you decide to file bankruptcy, you should also consider working with an attorney. They will advise you on the following:

 

  • the type of bankruptcy you should file
  • how bankruptcy can help you
  • what to expect during the process, and
  • any potential difficulties they see with your case

Additionally, you should be able to address any questions or concerns you might have.

 

The Bankruptcy Process

Filing for bankruptcy requires you to fill out a packet of forms. Your bankruptcy attorney will have specialized software that helps to guide you through the process and also ensures that everything is prepared for the court. You will be required to provide information about your income, expenses, assets, and debts. Working with an attorney will ensure that the information on these forms is filled out accurately, and filed correctly.

Bankruptcy Hearings

You will need to attend a meeting of creditors after you file for bankruptcy. Depending on your specific filing, you might need to attend additional hearings. Your lawyer will advise you on if you need to be in attendance, or if they are able to represent you without you needing to be there, as sometimes you will not be required to be in attendance.

At all times your lawyer will help you to understand the process, as well as ensure that the court has all the information it needs to obtain from you, in addition to any forms. – Miami Bankruptcy

Specializing in bankruptcy and foreclosure law for over 20 years. Call attorney David Pinkston for a free consultation today: 904.306.5791. #FloridaBankruptcyAttorney #FloridaBankruptcy

If you are thinking about #bankruptcy or #foreclosure in the Jacksonville, Florida area, you should call attorney David Pinkston. David is very experienced with all aspects of bankruptcy law yet very personable and easy to talk to. Call Us Today! 904.306.5791