With the state of our economy, it’s not always easy to keep a steady job. More and more people are laid off everyday, leaving them unable to pay off their debts. There are numerous options for those in financial hardships, one of those being bankruptcy. While people should try to pay off their debts, bankruptcy is there for those who have no other options. If considering bankruptcy, people should consult the help of Bankruptcy Attorneys in Jackson, MS. They can help clients figure out the necessary steps to take and how the process will affect them.
Bankruptcy can be a complicated process with many hurdles to jump over in the process. Bankruptcy Attorneys in Jackson, MS will assess a client’s financial documents and help them figure out the best course of action. It’s always recommended to have a lawyer to help guide clients in the right direction. There are multiple types of bankruptcy, each with their own benefits and downfalls. Not only that, but there are certain requirements to even qualify for different types of bankruptcy. An attorney will help clients determine eligibility and inform them how each type of bankruptcy can help or hurt them.
One common type of bankruptcy is chapter 7 bankruptcy. It involves the elimination of debts altogether, proving security from creditors. With this type of bankruptcy, filers can begin a new financial start right away. To even qualify for this bankruptcy, filers have to undergo a means test and make less than the median income of people in the area. This is to determine if paying back debts is even feasible. If it’s met, most debts will be eliminated. That being said, some debts such as student loans, tax debt, and child support aren’t covered. Chapter 13 bankruptcy also let’s people start anew, but still requires the debt to be paid off. The debt will be categorized by importance and summed into one amount that’s to be paid to a trustee. Filers will pay a determined monthly payment based on income and can expect to be debt free within 3-5 years.
All in all, bankruptcy can help people who have exercised all other options. It’s never easy to have financial hardships. With constant calls from debt collectors, many don’t see a way out. Bankruptcy Attorneys in Jackson, MS are there to help people find a solution. With their help, clients can start over and have a brighter future.
