Bankruptcy Lawyer Texas
If you’re struggling with debt, it’s time to explore your debt relief options with the assistance of a bankruptcy lawyer Texas residents trust. Filing for bankruptcy isn’t the best debt relief option for every family’s financial situation. However, there are good reasons why (each and every year) hundreds of thousands of Americans, American residents, and individuals residing in the U.S. without documentation choose to file for so-called “consumer” or “personal” bankruptcy. Filing for bankruptcy puts an end (at least temporarily) to collection calls and creditor harassment. The act of filing also pauses most collections actions and wage garnishments. If a bankruptcy case is successful, a filer’s eligible debts are discharged, which means that the discharged balances never have to be paid.
There was once a stigma that surrounded filing for bankruptcy. At that time, people often resisted filing for bankruptcy relief because they were concerned that this action was irresponsible or would be perceived as irresponsible by others. However, the Great Recession of 2008 taught Americans that even the most financially stable and responsible individuals can fall on hard times through no fault of their own. This lesson was reinforced when the economy declined during the Covid-19 pandemic. The stigma surrounding bankruptcy has been all but erased in American society. As a result, there is nothing to lose and potentially much to be gained by speaking with a Texas bankruptcy lawyer at The Allmand Law Firm, PLLC about your legal options at this time.
When Is It a Good Idea to File for Bankruptcy?
Generally speaking, it may be a good idea to file for bankruptcy if any of a few common scenarios apply to your financial situation. With that said, it may be a good idea to file for bankruptcy if some uncommon circumstances apply to your financial situation as well, which is why it is generally not a good idea to make any assumptions about your case until your financial situation has been assessed by our firm.
If you don’t earn much money and your debt is primarily “unsecured,” bankruptcy might be a great option for you. Unsecured debt – like credit card debt and medical bills – is debt that isn’t “secured” by collateral. If your creditor – like your auto loan provider or your mortgage provider – can repossess your property in the event that you stop paying your debt, this debt is secured. Most unsecured debt, like credit card debt, can be discharged in a Chapter 7 bankruptcy case. Members of low-income households who choose to file for Chapter 7 bankruptcy relief aren’t required to partially repay their eligible debts before they can be discharged.
Additionally, filing for bankruptcy under Chapter 13 of the Bankruptcy Code may be a great idea if you can make monthly payments on your debts but your current repayment schedule is unmanageable. Filing for Chapter 13 bankruptcy will allow you to restructure your debt so that your monthly obligations become manageable. After 3-5 years of successful repayment, your remaining eligible balances will be discharged.
Legal Assistance Is Available
If you haven’t already scheduled a risk-free, confidential consultation with our firm’s Texas bankruptcy lawyer team, please do so now; we look forward to assisting you with your needs at this time.