Individuals and business entities with a lot of bad debt can get debt relief through any one of the three types of bankruptcies. They can file a chapter 7, chapter 11 or a chapter 13. The first option is meant for both individuals and business debtors, and entails liquidation of assets to pay off debts. Chapter 11, on the other hand, is meant for businesses only. It entails reorganization of debts. Chapter 13 is similar to chapter 11, except for the fact that it is meant for individual consumers. Hiring a competent bankruptcy lawyer Prince William County is the first step to getting out of debt.
If you are a business owner who has accumulated a lot of business debt, the best option for you is to declare your business bankrupt under chapter 11. This will keep your doors open and give you legal protection against debtors. If your business is no longer getting any revenue, however, your only option will be a chapter 7, which will effectively wind up your business.
If you are an individual consumer, there are two options to choose from as far as bankruptcies are concerned. The first is to file a chapter 13, which will allow you to keep all your properties as you repay your debt in monthly installments. The second is a chapter 7, which will lead to liquidation of any valuable item that you may own.
When preparing the petition, your attorney will need to know about your assets, debts and income sources. These are the figures that will determine whether or not you qualify for the chapter you are applying for. The trustee will take time to analyze your financial position before approving your bankruptcy.
It is important to note that regardless of the option you choose, all kinds of bankruptcies will cause damage to your credit rating. For this reason, you need to prepare yourself for what is to come. Furthermore, a chapter 7 will leave you without your car or home among other assets. While you will have most of you debts forgiven, your bad credit will make it difficult for you to rent a house, get your dream job or access affordable credit facilities.
Consumers need to consider other debt resolution options before resorting to liquidation or debt reorganization. For instance, they should try to refinance their loans to make them easier to service. Those with multiple debts should consolidate them through a registered debt consolidation company.
Bankruptcies are usually time-consuming processes that require a lot of attention to detail. That is why legal and financial experts are normally appointed as trustees in these cases. Once your lawyer submits the petition in court, the judge will appoint a qualified trustee to handle the case. The trustee will handle all payments, auctions and communication between creditors and the debtor.
When looking for a bankruptcy lawyer, you need to make a shortlist of reputable lawyers operating in Prince William County, VA. The next step is to check the amount of experience these attorney have and give preference to lawyers who have a lot of experience dealing in bankruptcy. The ideal attorney must charge a competitive rate for their services and have a track record of getting clients through bankruptcy successfully. You should never be in a hurry to hire a lawyer as you can easily make a mistake.
If you are a business owner who has accumulated a lot of business debt, the best option for you is to declare your business bankrupt under chapter 11. This will keep your doors open and give you legal protection against debtors. If your business is no longer getting any revenue, however, your only option will be a chapter 7, which will effectively wind up your business.
If you are an individual consumer, there are two options to choose from as far as bankruptcies are concerned. The first is to file a chapter 13, which will allow you to keep all your properties as you repay your debt in monthly installments. The second is a chapter 7, which will lead to liquidation of any valuable item that you may own.
When preparing the petition, your attorney will need to know about your assets, debts and income sources. These are the figures that will determine whether or not you qualify for the chapter you are applying for. The trustee will take time to analyze your financial position before approving your bankruptcy.
It is important to note that regardless of the option you choose, all kinds of bankruptcies will cause damage to your credit rating. For this reason, you need to prepare yourself for what is to come. Furthermore, a chapter 7 will leave you without your car or home among other assets. While you will have most of you debts forgiven, your bad credit will make it difficult for you to rent a house, get your dream job or access affordable credit facilities.
Consumers need to consider other debt resolution options before resorting to liquidation or debt reorganization. For instance, they should try to refinance their loans to make them easier to service. Those with multiple debts should consolidate them through a registered debt consolidation company.
Bankruptcies are usually time-consuming processes that require a lot of attention to detail. That is why legal and financial experts are normally appointed as trustees in these cases. Once your lawyer submits the petition in court, the judge will appoint a qualified trustee to handle the case. The trustee will handle all payments, auctions and communication between creditors and the debtor.
When looking for a bankruptcy lawyer, you need to make a shortlist of reputable lawyers operating in Prince William County, VA. The next step is to check the amount of experience these attorney have and give preference to lawyers who have a lot of experience dealing in bankruptcy. The ideal attorney must charge a competitive rate for their services and have a track record of getting clients through bankruptcy successfully. You should never be in a hurry to hire a lawyer as you can easily make a mistake.
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