Debt is something many people face and feel unsure of how to get out of. When debt is accompanied by the loss of a job or an unexpected injury, it is crucial a person takes the steps they need to so they can be free of their debts as soon a possible. Through the help of a Bankruptcy Attorney in St. Charles MO, a person can be free of their debts as soon as possible so they can start fresh with their finances.
Before a person decides on which type of bankruptcy they will file, they need to meet with their Bankruptcy Attorney in St. Charles MO. The attorney will thoroughly review the person’s financial records to determine what type of bankruptcy will be best for them to file.
The law offers two types of bankruptcy for those who are in over their heads in debt. Chapter 7 and chapter 13 are both available for individuals who need to overcome their debt. Both offer positives for those who are dealing with debt, depending on how much debt they owe and how much income they have coming in.
Chapter 7 is a type that offers a six-month settlement for debts that are unsecured. The applicant will need to pass a mean’s test to ensure they meet the income requirements. Once they have filed, a court-appointed trustee comes in and works on their case. The trustee can liquidate some property to pay off debts and may also forgive the debt that cannot be covered by the non-essential property.
If a person has secured debts, they would be better off filing for chapter 13 bankruptcy. With this type, people are given an extended period of time, up to five years, to pay off the debts they owe by making payments to the court. This settles their debt and helps them lower their monthly payments.
For more information on bankruptcy options, contact the Law Offices of Steven K. Brown to schedule a consultation appointment. Allow the Bankruptcy Attorney in St. Charles MO to help you overcome your debt by filing for the right bankruptcy to fully meet your financial needs.
