You Need To Speak With A Bankruptcy Attorney If…
…you’re reading this. The very fact that you’re reading this page should tell you that free advice from an attorney is probably in your best interest. A free, no obligation phone consultation can help you understand your debt relief options and avoid transactions that can complicate bankruptcy. If you would like to receive a free phone consultation with our bankruptcy lawyer call Sacramento Law Group at (916) 596-1018.
Creditors are Harassing You
Are debt collectors calling your house? Is your mortgage company threatening foreclosure on your home? Is your car about to be repossessed? Filing for bankruptcy will automatically stop these collection efforts. (See 11 U.S.C. Section 362(a), commonly known as the automatic stay in bankruptcy). For example, if you file bankruptcy the repo man cannot show up the next day to repossess your car. Likewise, if you file bankruptcy the collection agency that calls you 5 times a day must stop calling. Once you file bankruptcy your attorney may send a letter to your more aggressive bill collectors to put them on notice of your bankruptcy and stop these collection attempts.
Minimum Credit Card Payments
Look at the interest rate on your credit card statements. How long will it take you to pay off all your credit cards? If the answer is “never” or “more than a year” you should call a bankruptcy attorney. Paying the minimum payment on large credit card debt nearly ensures that you will be paying several times the principal you originally owed. What’s more, all that money you spent on interest payments could have been applied to your medical insurance, saving for retirement, or other important investments.
The state of our health care system causes many people to incur tremendous medical debt. If you have amassed medical debt that is not feasible for you to pay, our bankruptcy attorney may be able to help. Medical debt is an unsecured debt that is easily discharged in Chapter 7 bankruptcy. Once your medical debt is discharged you can focus on restoring both you financial and physical health.
Borrowing from your Retirement Account
Borrowing from your retirement account to pay debts that can be eliminated in bankruptcy is a bad idea. You need your retirement account to care for yourself in the future. Many people don’t save enough for retirement. Private assisted living can cost as much as $250 a day, or over $90,000 a year. Moreover, many people are living well into their 90’s with several decades of that time spent in retirement. Consequently, it’s important to protect your retirement account and you can do just that in bankruptcy. If you’re contemplating borrowing from your retirement account to pay off debts, consult a bankruptcy attorney first.
A bankruptcy attorney can help you file Chapter 13 bankruptcy and establish a repayment plan to save your home. Our bankruptcy lawyer can stop foreclosure immediately through chapter 13 bankruptcy. As soon as your chapter 13 bankruptcy petition is filed the automatics stay in bankruptcy prevents your home from being sold in foreclosure. Through chapter 13 bankruptcy you will repay your delinquent mortgage payments over 3 to 5 years. Once the repayment plan is completed you will no longer be in default on your home mortgage, and thereby no longer at risk of foreclosure.
No Equity in your Home To Secure your Second Mortgage
If you have two mortgages and the value of your home is less than amount you owe on your first mortgage, call an attorney. If you file for Chapter 13 bankruptcy you may be able to strip off your second mortgage. That means that once you complete your repayment plan and your remaining debts, including the second mortgage, have been discharged, you will only owe on the first mortgage.
Borrowing to Pay Off Debt
If you are borrowing from Peter to pay Paul, contact our bankruptcy attorney.
A bankruptcy attorney can help you file Chapter 13 bankruptcy and draft a repayment plan to save your car.