Drowning in debt is a situation that no one wants to experience. Even so, many different types of events can lead to financial hardship. When it seems as if there is no way out, the best move is to talk with attorneys in Chandler, AZ and see what legal means can be employed to make things better.
Here are some of the things that the attorney will do for the client:
Assessing the Situation
Before attorneys in Chandler, AZ provide counsel to their clients, it is necessary to make a complete assessment of the financial situation. This means providing full disclosure about all sources of income, assets that are currently held, and the amount and type of debt the client is carrying. Once the attorney has a firm grasp of the type of financial trouble the client is in it will be easier to provide suggestions for resolving the problem.
Discussing Bankruptcy Options
For some clients, filing for bankruptcy will be the most practical approach. The attorney will use the information provided to determine the client’s eligibility based on the means test required by the court. The means test is simply a comparison of the debt load versus income and whether or not the client does have the resources to honor the debts. People who generate under a certain amount of income per year will have no trouble passing the test.
Once it is clear the client is eligible for bankruptcy, deciding which type is best matters. Clients who have nothing but unsecured debts will likely find that a chapter 7 bankruptcy is the best approach. A court-appointed administrator will arrange the sale of any assets deemed eligible by current laws and distribute the funds among the creditors; the remainder of the debt is discharged. This type of bankruptcy can usually be completed in a matter of months.
Clients with priority debts will want to learn more about chapter 13 bankruptcy petitions. Priority debts are debts that cannot be discharged in a chapter 7 petition. With few exceptions, priority debts include past-due taxes, child support, and student loans. With this approach, the client makes payments directly to the court and is debt-free in three to five years.
For anyone sinking in debt, visit the site and set up an appointment with Asheton B. Call today. Those debt worries will soon be a thing of the past.
