Filing for Chapter 13 bankruptcy can make sense when a deeply indebted individual still has a reliable source of income and assets that need to be protected. Opting for Chapter 13 will mean needing to repay some portion of that debt but will protect from creditors, in the meantime.
On the other hand, most people end up choosing Chapter 7 bankruptcy, a more drastic but potentially liberating option. Working with a Chapter 7 Bankruptcy Attorney in Tallassee, AL will always be the best way to ensure that the desired relief can be obtained. Lawyers like those at Courtney & Mann LLP consistently improve the odds that their clients’ petitions will be accepted.
Chapter 7 is the Most Common Form of Bankruptcy by Far
About three-quarters of a million individuals have filed for bankruptcy nationwide in most recent years. A significant number of these opt to file for the Chapter 13 form, a type formerly known as “wage-earners bankruptcy.”
A tiny fraction chooses to file for reorganization under Chapter 11, an option that is far more commonly pursued by corporations. The vast majority of all bankruptcy filings occur under Chapter 7, a process characterized by its emphasis on liquidation.
There are often good reasons to choose to file bankruptcy and to prefer Chapter 7 over the other options. Unlike the other styles of bankruptcy that are available to individuals, Chapter 7 can wipe the slate clean for a debtor and allow for a truly fresh start.
Obtaining that level of relief, of course, does come with a price. Debtors who submit to Chapter 7 bankruptcy proceedings can expect to have many types of assets sold off so the proceeds can be distributed among creditors. A Chapter 7 filing will also leave a long-lasting mark on a person’s credit record that will make obtaining loans difficult for quite a few years to come.
Debtors’ Odds of Success Rise When Lawyers are on the Job
Another possible downside of filing for Chapter 7 bankruptcy is simply that the petition will be denied. Retaining the services of a Chapter 7 Bankruptcy Attorney in Tallassee, AL will always make it more likely that the process will be completed successfully. That can end up being one of the most important steps of all, in the final analysis.
