Excessive debt causes problems.  Excessive debt causes stress.  Excessive debt is one on the main causes of divorce.  Excessive debt can be dealt with.  A Utah debt lawyer can help you deal with your debts.  The Utah Bankruptcy Guy team deals with excessive debt every day using federal laws to help you get your life back.  Using bankruptcy the team at the Utah Bankruptcy Guy has helped thousands of Utah families eliminate excessive debt.

As you may already know bankruptcy can be a complex process, and the average person probably isn’t equipped to go through it alone. Working with a Utah debt lawyer can help ensure your bankruptcy goes as smoothly as possible.  An experienced Utah debt lawyer will help you comply with all the applicable rules and regulations governing bankruptcy proceedings. In order to have a successful bankruptcy outcome you will have to meet some requirements before you can file for bankruptcy. You’ll need to complete a credit counseling class with an approved credit provide.

With your Utah debt lawyer you need to decide which type of bankruptcy you’ll file: Chapter 7 or Chapter 13. Both types of bankruptcy can help you eliminate unsecured debt (such as credit cards), halt a foreclosure or repossession, and stop wage garnishments, utility shut-offs and debt collection actions. However, the two types of bankruptcy relieve debt in different ways.

Chapter 7 Bankruptcy

Chapter 7 bankruptcy, also known as “liquidation bankruptcy,” is what most people probably think of when they’re considering filing for bankruptcy.

Under this type of bankruptcy, you’ll be required to allow a federal court trustee to supervise the sale of any assets that aren’t exempt (cars, work-related tools and basic household furnishings may be exempt). Money from the sale goes toward paying your creditors. The balance of what you owe is eliminated after the bankruptcy is discharged. Chapter 7 bankruptcy can’t get you out of certain kinds of debts. You’ll still have to pay court-ordered alimony and child support, taxes, and student loans.

The consequences of a Chapter 7 bankruptcy may be significant: you may lose property, and the negative bankruptcy information may remain on your credit report for a time. Should you get into debt again, you won’t be able to file again for bankruptcy under this chapter for eight years.

Chapter 13 Bankruptcy

Chapter 13 bankruptcy works slightly differently.  Chapter 13 allows you to keep your property in exchange for partially or completely repaying your debt. The bankruptcy court, the Chapter 13 Trustee  and your attorney will negotiate a three- to five-year repayment plan. Depending on what’s negotiated, you may agree to repay all or part of your debt during that time period. When you’ve completed the agreed repayment plan, your debt is discharged, even if you only repaid part of the amount you originally owed.

While any type of bankruptcy negatively affects your credit, there is life after bankruptcy. You can rebuild your financial situation and get back on your feet. 

Excessive debt can be resolved with the help of a Utah debt lawyerContact the team at the Utah Bankruptcy Guy and see what an experienced Utah debt lawyer can do for you. The Utah debt lawyer. #utahbkguy

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