Bankruptcy Attorney in Philadelphia MS
Everyone can face the risk of financial hardship. Losing your job, incurring medical bills, or getting into a car accident can leave you unable to pay your debt. Many people fall behind on their bills, and they need help on their way back to financial stability.
Bankruptcy provides debt relief by allowing individuals and businesses to deal with creditors fairly while eliminating debts under bankruptcy laws.
You can file for two types of bankruptcy: (Chapter 13) called reorganization and (Chapter 7) called liquidation. Under Chapter 13, you retain possession of your property, and the court will establish a payment plan for you to repay your creditors over 3 to 5 years. Under chapter 7, certain assets could possibly be liquidated to pay off outstanding debts.
Hiring an Experienced Lawyer for Bankruptcy Proceedings
Although it's not mandatory, attorneys can help you communicate with the court and ensure that your rights are protected. In addition, hiring a lawyer can save you time and money. If you file a bankruptcy petition without enough planning, you might have to pay more attorney fees or spend more time in court. Real estate, family estate issues, or retirement accounts are sometimes involved in bankruptcy proceedings, so there can be a lot on the line. A good bankruptcy lawyer guides you through the legal process and ensures you don't lose any exempt property assets.
Since 1999, Settlemires & Graham have filed Chapter 7 bankruptcies for our clients and have saved them from financial ruin. Our attorneys know the federal and state laws surrounding bankruptcy law. We can identify which debts are eligible for discharge, who is qualified to file, and what assets can be protected. We will help you avoid bankruptcy by working with you to determine if you qualify.
Discharging Unsecured Debts
Chapter 7 bankruptcy is a court procedure by which you can eliminate most types of unsecured debt like personal loans, vehicle loans, medical expenses, judgments, and credit cards. The ultimate goal is to give you a clean slate by discharging all the unsecured debt that led to your case.
Debts that Cannot Be Discharged Through Bankruptcy
These types of debts cannot be discharged in bankruptcy:
Debts that arise from fraud are not dischargeable through bankruptcy.
Debts resulting from willful and malicious injury, embezzlement, or fiduciary misconduct.
Child support, alimony, family support, and other payments ordered by the court.
Criminal fines and restitution, traffic tickets, additional administrative and criminal fees.
Most federal and state income taxes cannot be discharged. (However, there are some exceptions for taxes older than three years)
Death or injury to others caused while driving drunk or high.
Educational debts in bankruptcy include student loans where undue hardship is not present.
Assets You Can Keep
One good thing about filing a bankruptcy is that you can often keep property like your car and house, provided that your payments are current and there is little to no equity involved. In this situation, we often come to an agreement allowing continued payments. Our goal is to make it possible for you to keep your important assets while shedding other debts.
Chapter 7 Liquidation Process
If you are currently in a situation where you're concerned about bankruptcy, make sure to contact Settlemires & Graham firm. We will ask you a series of questions from a checklist during a free consultation to determine if you're eligible. We'll look at your income, assets, and what you owe on various debts.
Most Chapter 7 bankruptcies are "no-asset" bankruptcies, meaning the debtor does not have any property or assets to distribute to the creditors. This is why bankruptcy clients generally get to keep their assets and discharge all of their debts.
You can learn more about Chapter 7 Bankruptcy here.
After determining that you qualify for bankruptcy, we usually recommend that you stop paying all credit card bills. However, for the ultimate goal of eliminating your debt, it is critical that you also stop using credit cards at this time.
What We Need
We would need you to submit the following documents before we can start bankruptcy proceedings.
Documents Needed for Bankruptcy Proceedings
• Social security card (copy)
• Driver's license or legal identification (copy)
• Three months of checking and savings account statements (
• Four years of tax returns
• Six months of payroll or income statements (copy)
• deed, mortgage balance, and proof of home value (copies of each)
• All the information about credit card debt payments, balances with each creditor, and the interest rate, including vehicle loans, school loans, medical bills, etc. (copies of each)
You will need to take and complete a Credit Counseling Course before filing for bankruptcy. For this, we can assist you in finding the latest approved credit counselors.
We review your paperwork, and if you meet all the qualifications, we then file the documents to complete the petition and schedules. After drafting your bankruptcy petition, we will send a copy to you for review, sign, and return before filing your petition.
After filing, you will be under the oversight of a court-appointed trustee throughout your case. The primary responsibility of the Chapter 7 trustee is to sell your non-exempt property and distribute the proceeds among your creditors.
We will send a copy of your tax returns and payroll slips to the trustee. The trustee may also ask for further details like a credit report, bank statements & credit card statements.
341(a) Meeting with Creditors
After 30 days or so, you'll have a short hearing with the bankruptcy trustee when you file bankruptcy. This meeting, called "meeting with creditors," will be held before the actual bankruptcy hearing and typically lasts no longer than 5 minutes.
During the meeting, the trustee will ask several questions that may seem similar to what the bankruptcy attorney asks during the initial consultation. A Chapter 7 trustee will look at all of your assets and look for ways to liquidate them to pay back your creditors. In most cases, all of the essential details have already been discussed with you by one of our attorneys. Most creditors are allowed but won't bother to attend the meeting.
The attorney representing you at the meeting will always be from Settlemires & Graham. However, it may not be the lawyer who interviewed you during your first consultation. Our attorney will have reviewed all of your paperwork and is available for follow-up questions on the day.
You will need to bring your driver's license and your social security card to the hearing.
Sometimes the trustee has additional questions after the 341(a) hearing. Within 60 days, a creditor can file a complaint against you in court. This action is considered an adversarial proceeding and doesn't usually happen.
Financial Management Course
You have to take a second course during the 60 days after the meeting with the trustee. This course is called the "Financial Management Course." Please bear in mind there is a fee required for this course, and you can reach out to the same credit counselor you used previously. Once you receive your certificate, we can have the court issue your discharge.
All being well, most cases are settled here, the result being most if not all of your debt is eliminated.
A discharge order will generally be issued within 60 - 75 days after the hearing if there are no disputes.
We Aim To Get You Back on Your Feet With
Aggressive Legal Representation- We're here to fight for you, and we will not rest until our job is done.
No Legal Jargon- We will explain your legal status in terms you can understand.
Quick and Positive Action- We will do our best to respond to you within the day.
Our bankruptcy attorneys offer full legal representation for debt help. If you find yourself in a financial crisis, seeking bankruptcy protection may help ease the burden of your debt. Regardless of the severity of your situation, you can benefit from sound, experienced legal counsel.