Bankruptcy isn’t the End of the World.Posted by: Pasadena Law | Posted on: May 11, 2016
Bankruptcy is often a quick and clean way to get rid of all your debts and get a fresh financial start. Lawyers know that you probably don’t have a lot of money to spend otherwise you would not be looking for a bankruptcy lawyer. When you are shopping around for a lawyer, be aware that the cheapest fee quote may turn out to be the most expensive lawyer in the end. That is because the low fee quote is a tactic used to lure you in and sign up with that lawyer and often times, that is just a “retainer” or “deposit” that gets applied toward the entire “bigger” legal fee that you will be charged later.
Bankruptcy attorneys have many years of experience in the field of law. The law firms represent people and businesses in the court. They also deal with consumer law, real estate issues, family law, wills and estates, financial distress, bankruptcy, business law, criminal law, personal injury, administrative law and litigation. Many of these law firms have attorneys who are capable of handling cases in state courts as well as federal courts. Bankruptcy law is one of the areas of law that these firms handle.
Bankruptcy is the recourse of many people who are buried in debts, but without the ability to pay but many need the help of an Attorney in Greensburg PA to help them navigate the legal proceedings. Filing bankruptcy is the process that will afford a debtor a really new start. With bankruptcy, collection agents and demand letters will cease. Although there is basic law about the bankruptcy code, there are different supporting statutes from different states of USA. Thus, sometimes what is applicable to one state may not be applicable to another. This will make your filing of bankruptcy complicated. The solution will be to hire a lawyer who is experienced in the statutes of the state where the case is to be filed.
Bankruptcy is often an essential solution for many people’s financial concerns. Many families and individuals find themselves unable to pay their debts. Medical expenses could be piling up. You could be facing a significant problem with credit cards. Sometimes, you simply make a mistake with a loan you cannot afford. Once you get behind, getting caught up, especially if you are living paycheck-to-paycheck becomes difficult if not impossible. In these situations, it is best to hire an attorney to talk about your situation. In some cases, the debt is not dischargeable.
Bankruptcy law allows a bankruptcy trustees to avoid and recover certain transfers made by debtors prior to the filing of their bankruptcy petition on the ground that the transfers were either actually or constructively fraudulent. Thus, a trustee may recover, from the charitable organization, any transfer made by the debtor within two years of filing of the bankruptcy petition, if the debtor either: 1) actually intended to defraud creditors in making the transfer (“actual” fraud); or 2) received less than “a reasonably equivalent value” in exchange, and was insolvent when the transfer was made (“constructive”fraud). There are no exceptions to avoidance of a transfer that a trustee establishes was made with actual fraudulent intent. However, a debtor’s constructively fraudulent charitable donation cannot be avoided by the trustee if the transferee establishes that: 1) it is a qualified religious or charitable entity; and 2) the amount of the donation is not more than 15 percent of the debtor’s gross annual income in the year of the transfer.
Bankruptcy can be categorized as either a Chapter 7 or Chapter 13 filing. To qualify for Chapter 7, you must pass a means test. Chapter 7 filers generally do not have a steady source of income and are not reasonably able to pay off their debts in the foreseeable future. A Chapter 7 filing will eliminate credit card debt and department store bills. Medical bills, utility bills, and personal loans will also be eradicated. To pay off your creditors, your non-exempt assets will be liquidated after you are approved for Chapter 7.
Bankruptcy is an extreme financial situation and many people across the world have faced this situation at some point in their lives. Individuals who are overburdened with debt can be under tremendous stress and this can also impact their overall health. Creditors will try hard to recover the maximum amount of money owed to them and the debtor will be in a difficult situation. Under these circumstances, hiring the services of a bankruptcy lawyer can be the best way out of the troubled times. The lawyer provides all the help and support required to guide their clients through the entire process.
Bankruptcy is a complicated matter and not every attorney is equipped to handle the evolving practice of this particular field. As a firm that handles bankruptcy cases, we go above and beyond what is required to help clients achieve the desired solutions to their problems. We believe that clients are best served if a competent attorney handles the representation and that is how we go about every case that comes our way.
Bankruptcy attorneys don’t have crystal balls and are thus unable to see into the souls of mankind. In any area of the law, your attorney can only provide legal advice that is based upon information provided by you. Failure to disclose assets, debts, transfers, income, or anything else relevant to your case can lead to a loss of assets or denial of your bankruptcy case. We do our best to get to the bottom of the issues when we meet with our clients and normally my clients don’t lie. When it does happen, though, the consequences can be severe. Intentionally lying can result in not only the loss of assets but can also lead to a denial of your bankruptcy case, fines, imprisonment, or all of the above.