Homewood Bankruptcy Attorney
If you feel like your debt is spiraling out of control, bankruptcy can give you relief. Excessive medical bills, credit card debt, unemployment, and even divorce could leave you struggling to keep your head above water. Bankruptcy can give you a fresh start. A Homewood bankruptcy attorney can help you determine whether bankruptcy is right for you. Contact Lorraine M. Greenberg & Associates today to learn more.
What Types of Bankruptcy Are Available to You?
Bankruptcy is the legal process of eliminating debt so that you can have a clean financial slate. The two most common types of bankruptcy used by individuals include:
Often called “liquidation bankruptcy” or “straight bankruptcy,” this allows you to completely eliminate, or discharge, all qualifying debt. Dischargeable debt includes credit cards, medical bills, personal loans, and more. You may have to sell your home or other property in order to pay off some of your debt. What you do not pay off will be eliminated.
This is called “debt reorganization” or “wage earner bankruptcy,” and it includes a three- to five-year payment plan that allows you to repay most of your creditors. Chapter 13 can take longer to file, but is a good option for people with higher wages or debt that cannot be discharged, such as alimony, child support, and tax debt.
Determining Which Type of Bankruptcy Is Right for You
By working with a Homewood bankruptcy attorney, you can determine which type of bankruptcy is right for you. It’s important to file the right kind of bankruptcy so that you manage your debts appropriately and do not have unnecessary repercussions.
If you have a low income and most of your debt is considered “dischargeable,” then Chapter 7 bankruptcy may be right for you. In order to qualify for Chapter 7, you must pass a “Means Test,” which ensures you met all of the requirements. If you have significant disposable income, then you may not qualify for Chapter 7, and you may be forced to repay your debts instead of seeking a full discharge. However, if you make less than the median income for your household size, then you will likely qualify.
If some of your debt is non-dischargeable and you make more than the median income, you may qualify for Chapter 13. You must have a reliable source of income that can be used to repay your debts through a repayment plan that will take between three to five years. You may be able to save your home, car, and other property through Chapter 13 instead of giving it up like you may in a Chapter 7 bankruptcy.
Which Debts Are Dischargeable Through Bankruptcy?
Bankruptcy can help you eliminate some of your debt; however, if you have certain kinds of debt called “non-dischargeable debt,” it may not be completely eliminated. That may include domestic relations debts, fees and fines due in legal matters, and tax debt. You should talk to a Homewood bankruptcy attorney to determine if the debt you owe can be eliminated through bankruptcy, or if another option, such as debt consolidation, is right for you.
Can Bankruptcy Stop Home Foreclosure or Car Repossession?
Yes, bankruptcy can delay or stop a home foreclosure, car repossession, or other legal action against you. When you file bankruptcy, the “automatic stay” will go into effect. This is a legal order that stops your creditors from taking legal action. If there are pending lawsuits, those will be paused as well. All issues will be dealt with through the bankruptcy process. Additionally, your creditors can no longer contact you. Instead, they must speak with your attorney or attend the creditors meeting to address their legal issues.
What Is the Impact of Bankruptcy on Your Credit Score?
Bankruptcy is a useful tool that can help you deal with debt and manage issues with creditors. But when you file bankruptcy, you should know that your credit score will likely be impacted for years. A Chapter 13 bankruptcy will remain on your credit report for seven years from the filing date, and a Chapter 7 will remain on it for 10 years. This will impact your ability to buy a house, car, and other large items, as well as start a business or get any other loan. It is not impossible to get a loan with a bankruptcy on your credit report; however, the terms of your loan may be less than ideal.
Debt consolidation may be a viable option for you if you want to avoid bankruptcy. This lets you eliminate debt with manageable payments, but you don’t have to file bankruptcy. A Homewood bankruptcy attorney can also help you with debt consolidations and payment plans.
Call a Homewood Bankruptcy Attorney for Help Today
Dealing with debt can be overwhelming. Bankruptcy or other debt solutions can give you reprieve. Call Lorraine M. Greenberg & Associates to learn more about how a Homewood bankruptcy attorney can help.
Homewood IL Bankruptcy Lawyer
If you are looking for a bankruptcy lawyer in Homewood, Illinois, look no further. The Law Offices of Lorraine Greenberg will provide you with attentive, personalized service at a reasonable price, give you honest advice, and quality legal services. We will stand up for your best interests.
We offer Homewood IL bankruptcy clients one-on-one, personal service designed to alleviate your bankruptcy worries and give you the fresh start you deserve. Our team is prepared to assist you with your filing so that you can reach a resolution as quickly and smoothly as possible. Our Homewood IL bankruptcy attorneys are here to help you investigate your options and offer real legal solutions you may not have realized were possible before consulting a bankruptcy attorney. It is important to stay patient during this bankruptcy process and to keep up with good financial habits. With a free Homewood IL bankruptcy attorney consultation, there is nothing to lose, and you will find our bankruptcy lawyer services are provided at a reasonable price.
Homewood IL Info Bytes
In 1834 James & Sally Hart were the first known settlers. First called Hartford, it became the home of Illinois Central Railroad in 1853 who named its station Thornton which caused much confusion. 1n 1869 a postal pettition renamed the town Homewood.
Arlo Guthrie memorialized Amtrk Train 59, “City of New Orleans” which departs from Homewood at 8:45 AM daily.