Though it is a common misconception, opting for bankruptcy does not mean that the filer will lose his or her home, that the filer will be fired, or that bankruptcy will clear all debts. These are three big misconceptions when anyone contemplates this action. Instead, filing gives a relative peace of mind to the filer who will no longer have to worry about being harassed by creditors. Besides peace of mind, filing allows people to work out a detailed, long-term plan that goes toward paying off their debt in a budgeted manner.
There are several types of bankruptcy which are divided by chapter: 7, 11, 12, and 13. Jim Gaudiosi, Attorney at Law PLLC possesses all the information you need regarding each chapter. Chapter 7 is called liquidation, meaning most debts are completely wiped out the and the filer is usually allowed to keep his or her house, retirement plans, goods, furniture, and clothing. Chapter 11 allows filers to reorganize their debt and is often used by large businesses and corporations. Chapter 12 bankruptcy is specific to farmers who wish to restructure their debt to continue the farming life. Chapter 13 is classified as repayment bankruptcy, acting in a similar fashion to Chapter 11 but for average citizens, which allows some debt restructuring while a portion of the money owed to creditors come from the filer’s earned wages.
Because of the complexity of bankruptcy, seeking the help of a good bankruptcy attorney in Glendale AZ, like Jim Gaudiosi, can help immensely when filing a claim. Jim and his staff will teach you the information you need for a smart decision. They will help you review options and answer any questions. Gaudiosi Law’s mission in life is to help people regain peace through one of their most difficult situations in life.
Gaudiosi Law who specializes in bankruptcy here in Glendale AZ, has helped thousands of clients avoid foreclosure on their homes, stop vehicle possession, eliminate medical bills, and discharge immense credit card debt. They understand the importance of this decision and it is not the answer for everyone, but they can council with you so you can make the best decision for your financial future.
