Bankruptcy Lawyer Somerville, TN  Bankruptcy Lawyer Somerville, TN

Even if you’re not yet sure that filing for bankruptcy is the best way forward, if you’re thinking about it as an option, schedule a free case evaluation with a bankruptcy lawyer Somerville, TN residents trust. There are no strings attached to this process, it’s more straightforward than you might think. A free consultation simply allows you to learn more about your options so that you can make an informed decision about how to handle your family’s financial situation. You may have a lot of questions you want to ask an attorney, especially if you’re not familiar with bankruptcy law or you are filing for bankruptcy for the first time. If you do decide that filing for bankruptcy is the way to go, you’ll likely (unless you’re a small business owner) file under either Chapter 7 or Chapter 13 of the Bankruptcy Code. There are potential benefits and drawbacks to each approach. We understand that bankruptcy comes with a lot of uncertainty and can cause added stress during a frustrating time. However, there have been many clients who go through bankruptcy and are able to achieve financial recovery, and often come out with better control and knowledge of their financial goals and habits. Regardless of how you got to this stage, know that you have the tools to get yourself on the right track. Rest assured that our experienced Somerville, TN bankruptcy lawyer team will walk you through what you need to know to make an informed choice.

What Are the Differences Between Chapter 7 and Chapter 13 Bankruptcy?

There are three major differences between Chapter 7 and Chapter 13 bankruptcy. The first is that Chapter 7 bankruptcy is only available to members of households whose income doesn’t exceed a specific limit. Essentially, the less money you make, the more likely it is that you’re eligible for Chapter 7 bankruptcy relief. This type of bankruptcy applies to many low-income individuals.

The second difference is that the Chapter 7 bankruptcy process doesn’t require filers to repay a portion of their eligible debts before the remaining balance can be discharged by the court. By contrast, Chapter 13 filers are required to make manageable monthly payments on the whole of their debt for 3-5 years before any remaining eligible debt will be discharged.

Finally, whereas Chapter 13 bankruptcy reorganizes debt so that paying it becomes manageable, Chapter 7 bankruptcy is referred to as “liquidation bankruptcy” because of a provision that allows a filer’s non-exempt property to be sold to pay their creditors. Thankfully, most property that an average family owns is classified as exempt, so chances are relatively slim that you’ll have property that would be sold in the event that you’re eligible to file for Chapter 7 bankruptcy. If you have additional questions, we can explain how this process works in detail during your free consultation.

What Comes Next? Next Steps After Filing For Bankruptcy

Contrary to what many may assume, filing for bankruptcy can have its advantages. Bankruptcy may have negative implications, but for some it might be the best option. It can even come with positive effects depending on your financial situation. If you are suddenly faced with debt you’re not able to pay, filing for bankruptcy can actually ease your financial burden. It has the ability to end wage garnishment, as well as stopping foreclosure and repossession. It can end harassment from any creditors who routinely try to contact you. 

Bankruptcy can put you on a path to financial freedom so you can take charge of your money again. It can open more opportunities for you than you expect. With an open mind and the added financial knowledge you’ll have after filing for bankruptcy, you will be better prepared to handle your money in a smarter and more efficient way. With the help of their lawyer, many clients have boosted their credit score, resulting in manageable car or loan payments. You will be aware of helpful practices to manage or avoid debt, and it might even inspire you to come up with creative streams of income. Though it might be scary at first, bankruptcy lifts the burden off of your shoulders so that you can have the confidence to move forward and enjoy your financial freedom. 

Tips to Avoid Foreclosure

Though banks do have the power to strip hardworking and responsible homeowners of their houses, there are tried and true ways that individuals can stop foreclosure from happening. There are a number of legal and financial resources homeowners can utilize to fight any threats that could pose risks of foreclosure. The earlier homeowners can do their research about which tools best fit their unique circumstances and could be most helpful for them, the more options they can take advantage of. It’s always better to take action sooner than later, considering that negotiating debt and determining financial agendas demand a lengthy amount of time and requires careful planning. For full guidance on the use of these tools and recommended strategies, it’s best to consult a bankruptcy lawyer trusted by the Somerville, Tennessee community. During this stressful time, know that there are available options that can help you navigate this difficult situation. 

Legal Assistance Is Available

You don’t need to have “all the answers” about bankruptcy before meeting with the experienced Tennessee legal team at Darrell Castle & Associates, PLLC. Knowing the ins and outs of bankruptcy law is our job. And it is our great privilege to assist those who are struggling with debt to manage that debt through bankruptcy. Too often, hardworking, responsible people fall on hard times through no fault of their own. Thankfully, the bankruptcy system is available to help “right the ship” when either an unexpected storm or seemingly never-ending rain makes it unreasonably difficult for families to continue on their journeys unimpeded. If you’re interested in filing for bankruptcy, connect with a Somerville, TN bankruptcy lawyer at our firm today; we look forward to speaking with you.