Arlington Bankruptcy Lawyer

Financial obligations, both anticipated and unexpected, can create significant stress and anxiety. Whether it’s a sudden financial crisis, loss of a job, or unexpected medical debt, managing life’s curveballs while still meeting your financial obligations can be incredibly challenging. It’s not always easy to know when it’s time to stop struggling on your own and declare bankruptcy.

The good news is that you’re not alone. Many people have been in your shoes and know all too well what it feels like to be overwhelmed with financial stress. A sizable portion of them have successfully navigated the difficult decision of whether bankruptcy is their best option. To ensure you examine your options and make the best choice for your situation, the Arlington bankruptcy attorneys of Steele Law Firm are here to help guide you in the right direction.

Every person’s financial situation is unique, but some common circumstances arise to indicate bankruptcy may be your best choice. No matter your situation, the bankruptcy lawyers of Steele Law Firm are here to help every step of the way. With years of experience, knowledge, and expertise, we can help you take back control over your financial situation.

One of the biggest concerns most people have when considering filing for bankruptcy is its effect on their credit score. Your credit score essentially tells financial institutions how much risk they would take in providing you credit. The lower your score, the higher the risk to the lender.

However, it is a myth that filing for bankruptcy will send your credit score plummeting or ruin your credit forever. On average, it takes about two years for an individual to begin seeing the benefits of a good credit score after filing for bankruptcy. This can be a much faster solution than trying to climb out of the hole debt has left you with payday loans or predatory debt consolidation schemes.

There are several distinct types of bankruptcy for individuals. The most popular are Chapter 7 and Chapter 13.

• A chapter 7 bankruptcy typically makes more sense when you have reduced income, few expenses, and have items of value you would like to protect from liquidation. A chapter 7 bankruptcy discharges most of your debt with the sale of some of your assets. Credit card debt, medical debt, and other unsecured debts like personal loans can all be discharged through chapter 7.
• A chapter 13 bankruptcy typically makes more sense when you have income but are struggling to make ends meet. You could benefit from creating a repayment plan to pay off your debts over time. This allows you to hold on to your current income and protects you from creditors. Chapter 13 bankruptcy often results in a very flexible and customizable repayment plan.

At Steele Law Firm, we can work with you to determine the best plan for your situation and help protect assets you do not wish to liquidate.

Once you’ve filed for bankruptcy and completed the process, two distinct types of debt discharge can occur—complete or partial.

A complete discharge means that the debt would be completely absolved and considered as non-existent. Conversely, a partial discharge means that a percentage of your debt was discharged or that a creditor was only partially paid from the proceeds of your liquidation. You may still owe a portion of the debt to that creditor, but it would be a reduced amount corresponding to the partial payment they accepted. Sometimes, this debt reduction is all you need to get back on your feet.

Many people avoid bankruptcy because they fear that they will automatically lose their house if they file for bankruptcy. This simply isn’t true; filing for bankruptcy does not automatically mean that you will lose your home. However, if you avoid filing for bankruptcy and cannot make your mortgage payments, it is possible that your home will be foreclosed upon. If this is the case, filing for bankruptcy provides you with options to recover financially and retain your home.

The right bankruptcy law firm can make all the difference in your case. Of course, it’s only natural for someone struggling with money management to consider skimping on legal fees or seek alternatives to bankruptcy. However, making this decision can cost you much more than money in the end.

The value a bankruptcy attorney can add includes:

• Knowledge of bankruptcy law necessary to determine when you should file for bankruptcy and how much it will cost.
• Understanding the various forms of bankruptcy and which option would best serve your unique situation.
• The knowledge and experience necessary to prepare and file all bankruptcy paperwork and documentation.
• The ability to help keep creditors at bay and stop wage garnishments.
• Knowing the best way to rebuild your credit, clean up your financial history, and move forward with a plan for your future.

These are just a few of the benefits you can gain by consulting with a qualified bankruptcy law firm.

The decision to file for bankruptcy shouldn’t be taken lightly. Although it can be an incredibly liberating experience, you should only consider filing when certain conditions are met. Some signs that filing for bankruptcy might be the right choice include:

• Extreme financial distress, or a situation where you are struggling to manage your daily living expenses.
• A significant amount of debt you are unable to repay at any time in the near future.
• The inability to negotiate a repayment plan with your creditors on your own.

At Steele Law Firm, we will work with you to understand your situation and determine which option best fits you, your family, and your finances. Our Arlington bankruptcy attorneys can discuss how the power of filing for bankruptcy could dramatically shift the course of your financial future. Contact us today to schedule a consultation.