Just one unplanned incident can at times send people as well as families on a trail to bankruptcy. In Miami, most people do not want to file bankruptcy, and prefer to work and pay everything on time and continue a livelihood that would uphold their family. According to the Federal Reserve report of 2016, 46% of the US families have accepted that paying emergency of $400 would be a great trouble for them. There is a myth among people that if they file for bankruptcy the bank will take away everything from their house. Bankruptcy is a scary word, but people should realize that Federal bankruptcy laws have been set up mainly for people to pursue productive lives and get relieved from their past financial problems.
Filing for bankruptcy
The process of filing is a very stressful and difficult one; especially filing Chapter 13 or Chapter 7 bankruptcy in a court. It is a bothersome process and needs to be handled by an efficient bankruptcy attorney. Even minor mistakes made by the applicant in the honorable court while filing the bankruptcy will get rejected, if not filed properly. Immaculate planning is required while handling and filing the case. It is very indispensable that detailed preparation is done with consistent follow-ups and according to the norms to get the bankruptcy claim from the court.
Important laws of bankruptcy
The origin of bankruptcy laws in the United States dates back to the 16th century English Law. At that time the norm was Debtor’s prison. In 1705, the parliament drafted a bill making the bankrupts’ negative response to cooperate with a capital crime. The familiar type of consumer bankruptcy worldwide includes the Chapter 7 and the Chapter 13. Chapter 7 refers to liquidation and chapter 13 refers to wage earners’ plan. Houston bankruptcy attorney manages the business as well as personal debts you are unable to pay.
The cases that are handled under Chapter 7 mainly include student loans, child support, and alimony and most of these are exempted from the balance due on filing.The bankruptcy laws are very beneficial and allow businesses to get a fresh start by relieving them their debts and even repay their money to the creditors. All the legal actions against your business are put on hold when bankruptcy is filed.
Why hire Houston bankruptcy lawyers
Houston bankruptcy attorneys take care that creditors do not sue you or garnish your wages. There are different types of bankruptcy filings carried out by the Houston bankruptcy lawyers and each one has its own advantages. Your credit rating and future purchasing power can be significantly impacted by bankruptcy, and hence, it is important that you take assistance from bankruptcy attorneys. It is an important step that must be taken to balance the consequences of filing a bankruptcy.
The services of bankruptcy attorneys are mainly required for helping the clients to stop vehicle repossession, money owing problems, stop the foreclosure of homes, medical bills, stop IRS wage garnishments and many other similar problems. It is, therefore, important that bankruptcy is filed to stay away from stress and debt issues that are difficult to handle.