Bankruptcy Law Firm Memphis, TN
We Help People Gain a Fresh Start
If you are considering filing for bankruptcy, or would like to explore other options about resolving your debt, please call a leading bankruptcy law firm Memphis, TN residents have been relying on for over a decade. At Darrell Castle & Associates, we provide clients with the right tools they needed to make sound decisions about debt relief and bankruptcy. We’ve built a solid reputation as a bankruptcy law firm in Memphis, TN clients recommend. Let us explain to you what solutions may be available and guide you through each step of the process. Rest assured, as a well respected bankruptcy law firm in Memphis, TN, we can get you through your financial difficulties.
The Most Common Types of Bankruptcy
If you are thinking about filing for bankruptcy, you should know there are several different options available. The following are the most common types of bankruptcy.
Chapter 7 – This is the most common type of bankruptcy, and usually the easiest. Chapter 7 is an available bankruptcy option for individuals, legally married couples, and businesses. Chapter 7 has been designed so that it eliminates most debts without causing a person to lose their house, properties, vehicles, retirement savings, and other assets.
Chapter 13 – Chapter 13 bankruptcy is aimed to reduce most debts through the creation of a consolidated payment plan. Usually, an applicant will not lose their house, vehicles, and assets. Chapter 13 is often a good option when you want to prevent repossession or foreclosure. It is also useful to resolve any legal proceedings that are underway. A person who has filed for Chapter 7 bankruptcy within the last six to eight years can file for Chapter 13.
Chapter 11 – Chapter 11 is a bankruptcy option that helps to reorganize business debts that are related to operating a business or personal debts. Chapter 11 is better suited to businesses, or individuals or couples who have a very large amount of debt. A bankruptcy law firm in Memphis, TN can help you know whether this is an option.
Chapter 12 – Chapter 12 bankruptcy is a debt relief option that will eliminate most debts through a consolidated payment plan. It is very similar to Chapter 13, but is geared towards farmers or fishermen.
Debt Negotiation – For people who do not qualify for bankruptcy, or wish not to proceed with that option, a bankruptcy law firm in Memphis, TN might recommend debt negotiation or debt settlement. This is a process that involves an attempt to settle any debts with creditors by reducing or eliminating them. Businesses, individuals, and married couples can utilize this option.
Bankruptcy can happen to anyone, so make sure you’re protected by contacting a bankruptcy law firm in Memphis, Tennessee. Reaching out to a qualified attorney is a smart way to ensure your bankruptcy goes as smoothly as possible, and you’ll be thankful for the valuable information your lawyer can provide about your next steps on your journey to get out from under serious debt. At Darrell Castle & Associates, we understand that filing for bankruptcy can be a stressful ordeal for anyone, and we’re committed to making sure you know all you can before you commit to your financial restructuring.
Your reasons for declaring bankruptcy may vary. Every case is different, and there are a number of reasons for financial hardship: You could have suffered a serious accident, which led to seriously expensive medical bills; or you could simply be finding it impossible to get out from under your financial obligations. Debt can stack up fast, and it’s easy to get overwhelmed. Filing for bankruptcy provides a way out – but it’s not without downsides. Unfortunately, when it comes to declaring bankruptcy to break free from debt, you’ll be making some sacrifices along the way.
What You Own and What You Owe: Your Assets and Bankruptcy
No matter your reason for filing bankruptcy, you’ll need to expect the worst. That means potentially losing many possessions and investments that you’ve built up for yourself. If you file Chapter 7 bankruptcy, you’ll have to liquidate your assets to pay off your creditors. While bankruptcy is a quick way to get a clean slate, in the event of Chapter 7 bankruptcy, you’ll have to sell off much of what you own. The list of assets you may need to sell off is a long one, and includes: second properties, cars over a certain value, collections, heirlooms, and pretty much anything else that’s not a tool for a trade or appliances.
This may seem painful, and it is. After spending years and years of building up your own possessions, it can vanish in an instant due to a stroke of bad luck. Do you really want to lose priceless heirlooms, or that collection you’ve been building since you were young? Chapter 7 bankruptcy gives you a clean slate, but at a steep price. Fortunately, if you reach out to a bankruptcy law firm in Memphis, TN, you can get the legal help you need to protect the assets you own.
Can I Protect My Assets?
It’s possible to minimize your losses in the event of bankruptcy. A qualified bankruptcy attorney can help you develop a plan to protect your assets. There are legal methods to protect what you own, and at Darrell Castle & Associates, we’re committed to ensuring you’re as informed as possible about how you can best protect your assets throughout your bankruptcy.
It can be frustrating to think about losing everything you’ve built up for yourself and your family. We don’t think you should suffer through bankruptcy by yourself. Reach out to Darrell Castle & Associates, and see how a bankruptcy law firm in Memphis, TN can help you develop a solid plan to find your way back to financial stability.
When you call our bankruptcy law firm in Memphis, Tennessee, our knowledgeable lawyers can explain to you the bankruptcy process and answer any questions you might have regarding:
- The benefits of bankruptcy
- Bankruptcy misconceptions
- Eliminating liens
- Stopping foreclosure
- Stopping wage garnishments
- Stopping any legal actions against you
Understanding How Bankruptcy Affects Your Credit Score
As each attorney from our bankruptcy law firm can attest, one of the things that people who file for bankruptcy worry about is how their credit scores will be affected. In many cases, this concern holds them back from moving forward with the process itself. And although it is true that bankruptcy does impact your credit score, late payments and no payments also have a significant impact on your credit rating, as well.
At Darrell Castle & Associates, our experience is that by the time clients finally reach out to find out how filing for bankruptcy can help them, they are usually in a dire financial situation, with multiple late or missed payments. Many of them have already had charge-off accounts and may even be facing foreclosure, vehicle repossession, or liens. All of these things affect your credit score, lowering it, and making it impossible to obtain loans and other lines of credit.
A bankruptcy filing will show up on your credit report for seven to 10 years. A Chapter 13 bankruptcy will stay on your credit report for seven years and a Chapter 7 bankruptcy will stay in your credit report for 10 years. However, that does not mean your bankruptcy filing will have the same impact on your credit score during this time frame. During this time, as long as you pay your bills on time, the impact of the bankruptcy will lessen over time and you could quickly increase your credit score. Starting with a clean financial state will enable you to not only rebuild your credit, but will also enable you to begin saving for your future, like starting a retirement account.
Following the completion of bankruptcy, a credit score will usually drop anywhere from 150 to 250 points, however, many of the clients we help at our bankruptcy law firm find that they can obtain a vehicle loan shortly after filing bankruptcy, keeping in mind that the interest rates will be higher, based on a low credit score. Our clients have also been able to obtain a mortgage through the Federal Housing Administration (FHA). An FHA loan is specifically for borrowers who have moderate or low incomes and are unable to make a large payment on a home. The loans are issued by lenders who are qualified through the government and are insured by the FHA.
Common Bankruptcy Mistakes
Bankruptcy isn’t nearly as taboo as it was many years ago. Many people who are under financial distress are choosing to file for bankruptcy. If you’re in the same boat, it’s a good idea to educate yourself about the process first to avoid making costly mistakes.
As a bankruptcy law firm Memphis, TN provides, our lawyers will share some of the most common bankruptcy mistakes you should avoid making.
When you’re filing for bankruptcy, you may be afraid of losing some of your assets and become tempted to hide them. However, neglecting to mention a bank account or transferring funds to a relative isn’t something you want to do. It’s against the law and may result in fines and jail time. If you have done this already, please call a bankruptcy law firm Memphis, TN offers to find out what you should do now.
Purchasing Numerous Items
Some people make the mistake of maxing out their credit cards on frivolous purchases before filing for bankruptcy. They might think it doesn’t matter because they’re going to discharge everything anyway. However, the courts will keep a close eye on your spending habits before you file for bankruptcy. If they find out that you made several large purchases before filing, they likely won’t discharge these items.
As a well known bankruptcy law firm Memphis, TN respects, our lawyers would like to point out that filing for bankruptcy isn’t a decision you should take lightly. However, you also shouldn’t wait too long to file. The longer you wait to file, the more you will hurt your finances in the long run. If you’re drowning in debt and know that you can’t realistically pay it off, it may be time to file for bankruptcy.
Repaying Family Before Filing
If you borrowed money from family members, it’s understandable that you want to pay them back as soon as possible. However, it isn’t a good idea to pay them back before filing for bankruptcy. The trustee may see the payment as preferential and not allow it. Your family may even be required to pay back the money to the trustee.
Not Calling a Bankruptcy Law Firm in Memphis, TN
When you’re having financial difficulties, you might be tempted to forgo hiring a bankruptcy lawyer in Memphis and handle the matter yourself. After all, it’s just another cost you have to deal with. However, not having a bankruptcy law firm Memphis, TN individuals can rely on by your side could cost you even more in the long run. Bankruptcy law is very complicated and it’s easy for the average person to make mistakes. An experienced bankruptcy lawyer will know the ins and outs of bankruptcy law and will guide you the right way. He or she will protect your legal rights and prevent you from making mistakes that could cost you.
Hiring a Lawyer to Deal With a Debt Collector
Hiring a bankruptcy lawyer in Memphis, TN can help you deal with aggressive debt collectors. You’ve felt the dread when a debt collector calls and is looking for money. You’ve experienced that desperation and could possibly have had to deal with a disrespectful collector. When it seems you don’t know where to turn, you can count on a debt collection attorney. What do they do?
Protect You Against Unlawful Debt Collectors
There are certain things a debt collector can do and there are certain things a debt collector can not do. For example, debt collectors can apply pressure in an effort to get you to pay back a debt, but they cannot threaten you in any way. They can file a lawsuit against you, but they cannot have you arrested. Debt collectors can call you, but unnecessary repeated calls that include profane language and threats are unlawful.
If you feel that the way a debt collector has been acting is unlawful, a bankruptcy lawyer in Memphis, Tennessee can help you fight against those actions. Sometimes when a lawyer gets involved, the debt collection agency ceases to commit the acts right away. Other times, the issue goes to court where your lawyer can represent your case.
Represent You in Negotiating Terms
If a court decides you need to get the debt paid back, your lawyer can help you negotiate with the creditor. In some cases, you could be required to pay the entire debt back, so your lawyer would work on negotiating the terms of repayment. In other cases, your lawyer might be able to get the payback amount lowered so it’s not such a huge burden on you. In either case, having a lawyer do the negotiating is beneficial because he or she probably has experience with similar situations in the past. Darrell Castle and Associates, PLLC have an excellent team of bankruptcy lawyers ready to fight for you.
Help You Fight Against Debt Accusations
There are always those cases in which the debtor paid the debt back already, or paid a portion of it, but the creditor has no record of it or refuses to acknowledge the payment. There are other cases in which the creditor adds non-existent debt to a debtors balance in hopes of getting paid more than he or she is entitled to. All of these situations are dishonest and require the assistance of a lawyer who can fight for your rights against debt accusations.
Contact Your Lawyer Today
As you can see, there are several ways it could benefit you to hire a lawyer when you’re faced with a debt collector. With over 30 years of experience in bankruptcy law, Darrell Castle and Associates, PLLC can assist you with debt you can’t pay. As one of the very first bankruptcy firms in Memphis, TN to concentrate in individual consumer bankruptcy, our firm is well-versed in debt collection. Contact a bankruptcy lawyer in Memphis, TN today for more information.
Find Out How Our Memphis, TN Bankruptcy Law Firm Can Help
If you are struggling financially and see no way out, it may be time to sit down with a bankruptcy attorney to find out what legal options you may have. We will evaluate your situation and determine if you qualify for bankruptcy and if so, which type would work the best for your circumstance, Chapter 7 or Chapter 13. Although you may consider filing for bankruptcy on your own, it is critical to know that this process can be complicated and making an error can cause the court to dismiss your filing.
Three Elements of Bankruptcy
You may be weighing your options with how to handle your current debt situation. Your financial situation may have taken a hit due to a variety of circumstances that have left you trying to figure out how to pay your bills. But bankruptcy is no longer a stigma.
Many financial planners might recommend that you file so you can get your money under control now and lay the groundwork for a better future. Before you decide, it may help to explore these three elements of bankruptcy, so you go into the process with a better understanding of what it means and how it works. An experienced bankruptcy law firm Memphis, TN can taylor a plan just for you and your situation. Call Darrell Castle & Associates today.
- The Timing of Bankruptcy
You may need intervention with creditors now, but decide to wait a little longer and try to dig out yourself. Once you realize you cannot afford to pay even the rising interest rates and penalty fees, you may choose to go through with it. The timing of bankruptcy may be critical in that you may find yourself embroiled in litigation before too long. Some creditors waste very little time in filing lawsuits against outstanding debtors. Thus, you may want to consider filing sooner rather than later to avoid dealing with the headaches of a collector’s litigation. A bankruptcy law firm in Memphis, TN, like the team at Darrell Castle & Associates, can manage the best timing for your case.
- The Type of Bankruptcy
There are two avenues for filing bankruptcy. Chapter 13 bankruptcy establishes regular payments to the court over a three-to-five-year period. These payments are created with the help of a trustee who examines your current financial picture and determines the amount you can afford to pay towards debt. Once payments have been made as mandated by the court, the remaining debt is discharged.
Chapter 7 bankruptcy differs in that the trustee is not looking to negotiate a payment plan, but instead to pay off as much debt as possible with the property and assets you own. This may include things like savings accounts, investments and income property. The trustee sets out to liquidate these items and put it towards the outstanding balances with creditors. Once the court is satisfied that you cannot pay more, the court discharges the rest.
- Protections Afforded by Bankruptcy
Filing for bankruptcy, regardless of the chapter, affords you some measure of protection. First, creditors must stop contacting you for payment. Collection companies, primary creditors and the like can no longer send you mail or call you about the debt. These creditors must go through the court and follow the appropriate process. Creditors also cannot file a lawsuit or seize property after you file for bankruptcy.
Understanding bankruptcy and how it helps your financial future may help you decide how to proceed. Contact a bankruptcy law firm Memphis, TN to examine the details of your particular case and devise a strategy to lift you and your family out of debt.
Call Darrell Castle & Associates to Resolve Your Debt
At Darrell Castle & Associates, we focus on bankruptcy law and will be happy to provide with a professional, honest, and knowledgeable assessment. To find out more, call our bankruptcy law firm in Memphis, TN now.
When you need a bankruptcy law firm Memphis, TN trusts, turn to the team at Darrell Castle & Associates.
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