When you feel as though you’re stuck with financial problems, the happiness and fulfillment can quickly drain out of everyday life. Many people who are trapped with overwhelming debt are constantly hounded by aggressive creditors, and often come to dread answering the phone or opening the mail for fear of being met with yet another overdue notice. Some worry that their car will be repossessed, while others still fear their homes being foreclosed on.
Whether you think you are at risk for repossession and other consequences, or you are simply worried about your declining credit, consumer bankruptcy may be able to help you get back on track. Filing places an automatic freeze on any collection actions against you, and even more importantly, it can reduce or entirely eliminate many of your debts.
If you are interested in learning more about how filing for Chapter 7 or Chapter 13 can give you a clean slate, call the Bala Cynwyd bankruptcy lawyers of Young, Marr & Associates at (609) 755 3115 in New Jersey or (215) 701 6519 in Pennsylvania. Our client consultations are always totally confidential, and your initial consultation is free of charge.
Young, Marr & Associates: Bala Cynwyd Bankruptcy Attorneys
Over the years, consumer bankruptcy has helped millions upon millions of Americans regain steady financial footing and turn their lives around. Contrary to popular belief, many people who have gone through Chapter 7 or Chapter 13 in the past are able to:
- Rebuild good, healthy credit.
- Make major purchases, including cars and housing.
- Keep their most valued possessions.
But while the benefits of filing are numerous, they can only help you if your case is handled properly. The federal court system strongly recommends against representing your own case, stating:
“The rules are very technical, and a misstep may affect a debtor’s rights. […] Bankruptcy has long-term financial and legal consequences — hiring a competent attorney is strongly recommended.“
If there are any errors — even what seems to be a minor mistake — the integrity of the entire case could be compromised, and your case could be dismissed. A single missed deadline or forgotten document could have dramatic repercussions. It is absolutely critical that you are represented by a skilled and qualified lawyer.
At Young, Marr & Associates, our legal team has more than 20 years of experience handling thousands of cases in Bala Cynwyd and throughout Montgomery County. In many instances, our clients are able to advance their financial affairs by as much as five to 10 years. When you need the support of a dedicated, respected law firm, you can call on Young, Marr & Associates.
Benefits of Bankruptcy
More people file than you might think. For the current fiscal year, over 750 cases have already been opened in Montgomery County alone. Bankruptcy has become so widespread for a very good reason: it can be enormously useful, beneficial, and effective. So what can it help you achieve?
Freedom From Debt
Debts are divided into two basic categories:
- Dischargeable debts. Can be eliminated.
- Nondischargeable debts. Cannot be eliminated.
Most of your debts will be eligible for discharge, typically including but not limited to:
- Medical Bills
- Credit Cards
- Utility Bills
- Personal Loans
- Overdue Rent
- Social Security Overpayments
Freedom From Creditors
Most people associate bankruptcy with debt elimination. However, it comes with another, lesser known advantage: the automatic stay.
When you make your initial filing, the automatic stay lives up to its name by automatically granting you strong protections against your creditors. Under the terms of the stay, creditors are prohibited from contacting you. They are also not permitted to initiate any further collection actions. This means that you can stall against foreclosure, or may be able obtain a mortgage modification.
Types of Bankruptcy
Just as debts are divided into two basic categories, so are consumer cases:
- Chapter 7
- Chapter 13
The majority of consumer cases fall under Chapter 7. For debtors who dread long waits and red tape, Chapter 7 has a pleasant surprise: it only takes about four to six months to complete on average. However, not everyone can qualify for Chapter 7. This form of bankruptcy is need-based as determined by the Means Test, which weighs household income and other factors against state averages.
Chapter 13 is less common, but still widely used. Chapter 13 is a longer and more time-consuming process than Chapter 7, and cases generally span a timeline of three to five years. This is because Chapter 13 includes a “reorganization plan” to pay back creditors at a gradual, reasonable rate. While this form of bankruptcy requires more repayments than Chapter 7, it may also debtors to keep more of their possessions.
If you or someone you love is struggling with debt, bankruptcy may offer relief. Call the law offices of Young, Marr & Associates at (609) 755 3115 in New Jersey or (215) 701 6519 in Pennsylvania, or contact us online. Your consultations will always be private, and the first one is free. Call today to see how we can help.