Can Social Security Overpayments Discharged in Bankruptcy?

When You Have To Pay Back Social Security Overpayments

discharge social security overpayment, government overpayment, pay back social security, social security Unless you receive money from the government yourself, such as social security benefits, you may not realize how often mistakes are made. In 2015, the Social Security’s inspector general reported disability overpayments totaling $16.8 billion over a 10-year period.  Many people are overpaid by the government. If this happens to you, it’s just a matter of time before the government comes back to collect those funds. When you’re living on social security benefits, and your expected to pay back large sums of money you didn’t expect to have to pay, this can cause a real hardship on you and your family.

Some government debts are non-dischargeable in bankruptcy, but as long as there is no fraud involved, Social Security overpayments are not one of them. In Chapter 7 or Chapter 13 bankruptcy, the debt you owe to the Social Security Administration, (SSA), can be wiped clean.  If you received a large amount of money from a social security overpayment and can’t pay it back; contact a Debt Advisors bankruptcy attorney for more information.

Social Security Payment Mistakes can Be Discharged in Bankruptcy

The Social Security Act was signed into law back in 1935. The purpose of Social Security has always been to provide benefits to those in need.  This includes income benefits to the disabled and retired citizens over the age of 65. For these people, it is nearly impossible to repay Social Security debt because they have no way of working for it. If the Social Security Administration makes a mistake, it will want you to reimburse them, regardless of your age or disabilities.

Reasons Why Overpayments Happen

Social Security overpayments are usually due to changes in the beneficiary’s status that changes the amount of benefits due.  The change in status can result in losing eligibility for disability benefits altogether. However, payments may keep coming for a period of time.  People are mostly unaware that they are being overpaid.  You can imagine that they are pretty shocked when they receive a letter from the Social Security Administration, demanding repayment.  The amounts vary from a few thousand dollars to tens of thousands of dollars.

Even if the overpayment mistake was not your fault, you have to prove to the SSA that paying back the debt would create a financial hardship.  It is more likely that you’ll have to pay this money back.  Either dip into your savings account, make payments, or do nothing and they’ll stop sending checks until the amount has been reimbursed in full.   If these aren’t realistic options for you there is another saving grace; that is to file bankruptcy.

Social Security Overpayments Discharged in Bankruptcy

Yes, you can wipe out debt, including a Social Security overpayment by filing bankruptcy.  Make an appointment with Debt Advisors Law Offices for a free bankruptcy consultation.  In that discussion, you’ll learn more about whether or not bankruptcy may be the best option for you.

The Ups and Downs of Student Loan Debt

student loan debt, student loan discharge, discharge student loans in bankruptcyThe topic of student loans has really come to the surface and received some attention over the past ten or so years.  There are usually two student loan topics that arise; the rising cost of student loans and the non-discharge ability of student loans in bankruptcy. However, to give credit, there are some positive points for Federal Student Loans to mention as well.

Breaking-Down Federal Student Loans

It’s a great thing, that in America, so many people have access to Federal Loans.  Most Federal Student Loans offer low fixed interest rates, deferment, repayment plans based on income and some forgiveness options for teachers and public service employees; this is pretty appealing to most students.  In addition, the chance of being approved for a Federal Student Loan, such as a Stafford Loan, is almost a sure thing.  Your credit history is not a factor what-so-ever, your credit is not checked, as it would be with a private lender. The ease of receiving a Federal Student Loan makes the dream of going to college very real for many.

Overwhelming Student Loan Debt

According to the Federal Reserve in June of 2010, Federal and private student loan debt surpassed credit card debt.  In short, this means that Americans have more student loan debt than credit card debt.  And, it’s not just college graduates that are experiencing this problem. Loan debt from classes adds up equally for all participants.  Regardless if you can’t find a job related to your degree, or if you never reach graduation, you are still left with the loans to repay. The opportunity to go to college is an honorable one, but it is something that really needs to be taken seriously because it involves borrowing a lot of money.  (The average annual tuition for a public four-year college is approx. $10,000 – $20,000.)  We need a combined effort on the part of student counselors, lenders, colleges, our legal system, and more to prevent this problem from continuing.

Student Loans and Bankruptcy Laws

Prior to 1976, student loans were dischargeable in bankruptcy.  However, there was a big concern back then that too many loans went into default.  As a result, Congress passed laws to protect Federal Student Loans, basically, laws that would protect these government investments.  Private student loans weren’t impacted until 2005 when the BAPCPA, Bankruptcy Abuse Prevention and Consumer Protection Act was passed.  Protection for WI Residents. This is the current law that makes discharging student loan debt nearly impossible. There are people today, including politicians and presidents that feel our government is profiting entirely too much from Federal Student Loans, including the defaulted ones. Until there is some consensus on this issue, it may not resolve for a very long time.

What to do about Overwhelming Loan Debt

If you have questions about what to do about your student loan debt, or any other kind of consumer debt that you may have, it doesn’t hurt to ask a local bankruptcy attorney just to be sure.  If your student loans can’t be consolidated or discharged in bankruptcy, we can steer you in the right direction to possibly get them consolidated, or forgiven.  In many circumstances, we are able to identify other areas of your economic situation that can address to significantly impact your financial future in a positive way.  You just don’t know, until you ask; we encourage your questions and respect your inquiry.  Your first consultation is free. Start Right Now.

Save Some Money In Budget For Enjoyment

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Saving Money For Fun

This time of year many folks are thinking about making New Year’s Resolutions that may impact their pocketbooks.  This could mean paying off debt from the holidays, or simply a commitment towards better monthly budgeting for the new year ahead.  Some may need additional planning to ensure adequate money is set aside for things such as family vacations, weekend getaways, or other fun things that may not otherwise be budgeted for.  After a season of spending, the message to budget for “enjoyable” items may be far from the mind.  Paying off debt, and saving money for things like medical emergencies, job loss, and retirement should still be top of mind.  Without lessening the importance of those items, it is also a good idea to set money aside for enjoyment items as well.  Doing so will give more control over your finances.  Putting together a monthly budget and testing it for a couple of months will give you an idea about how attainable your entertainment and enjoyment goals are compared to where you are today. It will also allow you to spend your “fun” money without guilt once you get there.

Those who desire to be responsible with their money will want to know how much “fun money” they are spending on a monthly or yearly basis.  It’s a good idea to have a separate savings account for your enjoyment money, especially if you’ll be saving larger sums over a longer period of time.  On a monthly budget, fun money can cover entertainment and small things each month such as movies passes or trips to the ice-skating rink.  Ideally, making purchases or attending events that are for entertainment shouldn’t come from an “emergency” savings account.  However, having one savings account that does it all is better than none at all.

 

Who Budgets?  Who Saves? 

Over the years, many studies have been done to learn more about the demographics of who maintains a budget, what they budget for, how they budget, and so on.  One recent survey from Bankrate.com found that A18-29, (millennials), are actually better at saving than any other age group.  They are not saving more in quantity, but they are in the habit of saving in smaller amounts, and at a younger age.  Another recent study conducted by U.S. Bank, concluded that only 41% of Americans use a budget.  This leaves a lot of room for improvement.  You’re never too young or too old to start saving.  For any savings to grow there must be a budget.  For a budget to be successful, it will take commitment, fiscal responsibility and reasonable expectations.

A household that is financially responsible will have a budget, regardless of the income that household may be.  Nobody wants to have to deal with the stress and anxiety that comes with overspending; budgets are going to ensure that finances stay on track with both short and long-term enjoyment spending goals.  It is the financial tracking document that shows what limitations you may have based upon how you’re allocating money.  Once finances are tracked in a monthly budget, you may be surprised at the findings.  It’s possible that there may be places where you can cut back to save a little extra, or you may find that there is more currently being spent on enjoyment than what can be afforded.  After you’ve identified your current situation, you can make adjustments accordingly and possibly begin contributing to your long-term savings account for enjoyment.

If you’re not saving currently, then there may be an easy fix for that problem.  Budgeting apps are available for nearly every kind of phone.  From our website, you can download a free budget template.

 

How Much To Save For Fun Activities

The answer to how much savings should be designated into your enjoyment savings fund is a little more complicated.  The answer lies in a variety of variables, based upon your personal situation.  If you’re expecting work bonuses, or commission checks, maybe those could go towards your enjoyment fund.  In any case, small discretionary items such as movie night, a night at the Dells or new bike purchase…all the way up to the purchase of a new boat should be planned for.  Once a budget is established, you’ll know more about where your hard-earned money is going.  In addition, it will provide a good indication of how much money is left over every month after bills and other obligations.  That amount that is left over is what you have to work with.  If your discretionary income is only $150 a month after all of the bills are paid and food is on the table, then that is what you have.  Keep in mind that “fun money” is really not “fun” to spend unless you know that the important things are taken care of anyway.

 

Breaking down the average annual expenditures:  (According to a study from the United States Bureau of Labor Statics) (Info here taken from https://www.creditloan.com/blog/average-american-spends-on-entertainment/) (updated Jan. 2017)

  • Housing – 33.9%
  • Transportation – 17%
  • Food – 12.8%
  • Personal insurance and pensions – 11.1%
  • Health care – 5.9%
  • Entertainment – 5.6%
  • Apparel and services – 3.6%
  • Cash contributions – 3.4%
  • Education – 2.%
  • Miscellaneous – 1.7%
  • Personal care and services –1.2%
  • Alcoholic beverages – 0.9%
  • Tobacco products and smoking supplies – 0.6%
  • Reading – 0.2%

 

When Saving Money Is Difficult

At Debt Advisors, we understand that following a budget can be especially challenging for some folks who struggle with debt.  If you have very little discretionary income due to debt overload, please contact us.  We help people with debt-related issues that may be resolved with chapter 7 or chapter 13 bankruptcies. Paying off debt is always going to make saving money easier, and more fun.  Have more questions for us?  We’d love to help!  Ask for a free Debt Advisors consultation.

Prevent Overspending This Season

Bankruptcy and Holiday Spending

file bankruptcy after holidays, can i wait to file bankruptcy, racking up credit cards, bankruptcy attorneyIt may come as no surprise that filing bankruptcy is usually put off until after the holidays. It’s a season that people think more about spending than saving or eliminating debt. Americans who are tempted to overspend will likely do so this time of year. According to a recent report from the National Retail Federation, consumers are expected to spend an average of $967.13 this year. This number has been increasing steadily each year since 2009. Many people have already begun to purchase gifts.

It’s not a good idea to over-spend these next few months. Overspending could impact the amount of non-dischargeable debt you have if you file bankruptcy after the holidays. So, it’s never too late to do some good budgeting to stay in check. Here are some small things that you can do this holiday season that may work for you:

• Encourage guests to bring a dish to pass so that you don’t carry the full cost of hosting a party.
• Avoid large purchases; make some hand-made gifts or home-made dishes that are personal and can be shared with many.
• Make a list and budget before heading to the mall, and stick to it. Avoid the temptations around you.
• Refrain from using credit cards. Once the holidays are over, you could be left with a pile of debt.
• Keep things simple. Money spent on things like house lights or Christmas tree décor can add up.
• Remember that people and relationships are more important that things.

Waiting to File Bankruptcy after Holidays

Whether you’re filing bankruptcy to resolve medical or credit card debt, the sooner you file, the quicker finances can be resolved. Sure, it’s ok to wait a few months to file bankruptcy. Ultimately, the timing of when to file is up to you. Keeping finances on track this time of year is especially challenging. If you’re buying some time due to the holidays, at least avoid adding unnecessary debt.

Here are some quick facts about filing bankruptcy after the holidays:
• After the holidays, bankruptcy may NOT eliminate all of the new debt from Christmas shopping.
• Chapter 7 bankruptcy is a good option for credit card debt, but may NOT cover recent, unnecessary charges.
• Debts over that past few months that are deemed necessities WILL likely be dischargeable after the holidays.
• You CAN file bankruptcy at any time. Even the period between Thanksgiving and Christmas.
• Creditors WILL continue to harass you for payment, even over the holidays. Stop harassing phone calls
• Things like gifts and work bonuses that often come this time of year WILL increase your reported income.
• Bankruptcy CAN give you a fresh start, no matter when you file.

Bankruptcy on your Christmas List
Bankruptcy is not something most people want on their Christmas list. Ideally, it would have been great to have eliminated debt before the celebrations began. But the truth of the matter is that the holidays are upon us and bankruptcy may still be on the “to-do” list. Put yourself and your family first by initiating the fresh start that bankruptcy can provide. For more information about chapter 7 or chapter 13 bankruptcies, contact our experienced bankruptcy attorneys at Debt Advisors Law Offices. We can answer all of your questions and put your mind at ease. We have great client reviews because we like to help people, just like you!

Get free advice. Start here.

The less you have to worry about finances, the more you can enjoy the holiday season.

Answers to 3 Top Credit Score Questions

Credit Score and FICO Scores Explained

 

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The basics of personal finance include a general understanding of credit scores, FICO scores, and how the numbers may impact your life.  Unfortunately, many folks don’t learn about the importance of credit scores until they are declined for credit.  Here’s your chance to get ahead in the game.

What is a Credit Score?

A credit score is a three-digit number which represents the likelihood that debts will be repaid in full.  (Your credit-worthiness.) The number can be found on your credit report and ranges from 330 to 850.  720 or higher is considered to be a good score. The higher your number, the less of a risk that you are to lenders.  Simply stated, this means that a higher score will equate to better interest rates and credit limits than what you may receive with a lower score.  Really low credit scores may get you denied for any credit…or even insurance.

Lenders no longer have to rely on subjective judgement to determine who they feel would pay back a loan.  Although your score may vary between credit reporting agencies; scoring models today are less biased, and based upon historical data. When calculating your credit score, most agencies will take at least the following references into consideration:

    • Payment History
    • Debt to Income Ratio
    • How long you’ve had credit history
    • If you’ve applied for new credit lately
    • Number of credit accounts & type

 

Where Can I Find My Credit Score?

You can find your credit score by inquiring at any of the three major credit reporting agencies:  Experian, TransUnion, and Equifax.  Each of these agencies offers a free copy of your annual credit report.  You can also find your score in other places such as credit.com, freescoreonline.com, creditkarma.com and freecreditreport.com.  Keep in mind that joint credit accounts affect your personal credit score.  In addition, it’s important to note that many of the credit scores are going to be slightly different than your FICO scores. There is a growing number of financial institutions that will who you your FICO score for free if you hold certain credit accounts.  (Discover, Capital One, American Express, Chase, etc.)

What is Difference between FICO and Credit Score?

You may notice a discrepancy between a banks FICO score and the online credit scores found on Experian, TransUnion, and Equifax.  This is because there are different scoring systems used. Lenders can decide which combination of the major credit reporting agencies they prefer to use.  If you are going to apply for a loan, know that it’s your FICO score that matters most to lenders.

If you have no established credit, or poor credit, your FICO score doesn’t have to be the end of the road.  There are ways to build good credit score, or possibly secure a loan through an alternative lender.  Ask an attorney at Debt Advisors for more information about your credit report, the 720 credit score program, or obtaining a loan after bankruptcy.

You’re Bankrupt; Life Situations That Got You There

debt problems, debt attorney, situations that lead to debt, divorce, job loss, medical billsThere are challenging life situations that literally come out of nowhere and are impossible to control.  Debt can build up as a result of these life situations.  When life leads to bankruptcy, don’t despair.

Overcome Financial Burden

Sure, we don’t always have control over what is going to happen.  However, we do have control over how we respond and react to any situation.  No matter how financially devastating, there are ways to overcome financial burden.

Here are some of the most common life situations that can happen to anyone, and also lead to debt overload:

  • Medical Debt:  Medical debt is the largest of life events that can lead to bankruptcy. Medical debt doesn’t take long to acquire, especially for a devastating disease such as cancer.  In the news lately there has been a lot of talk about the rising cost of prescription drugs.  Drugs to treat cancer are some of the most expensive out there, not to mention the therapy and other medical expenses.  (10 statistics about the cost of cancer treatment in America.) With or without insurance coverage, serious diseases like cancer can quickly result in hundreds of thousands of dollars in unpaid medical bills.  It is most important to treat your illness.  When you are ready and able to learn how bankruptcy may be able to help, one of our compassionate and experienced bankruptcy attorneys are here to help.
  • Job Loss:  According to recent state labor reports, Wisconsin’s economy is growing.  In April of 2017, the unemployment rate was at a 17-year low of 3.2%.  Although the economy is on the upswing, there are still people who experience job loss, or loss of income.  This life event is in the top three reasons why a person files for bankruptcy.  If you’ve lost your job and qualify for unemployment, the amount of money you receive may still be less than enough to get by.  (Not to mention, unemployment doesn’t last forever.)  Living on far less than what you had prior to the loss may make it impossible to cover bills or general living expenses.  These expenses add up.  Creditors start to call.  Your utilities get shut off.  Before you give up hope, contact Debt Advisors for your free consultation; your first step towards overcoming the debt problem.
  • Divorce:  Researchers have found that divorce rates peaked in 1980 and have since been on a slow decline. This may seem like great news, but not so much when we consider how financially complicated divorces have become. There are a whole bunch of factors involved with divorce, and they often add up to big financial distress.  If you have gone through a divorce, you may already know how devastating they can be financially. What you may not know is the truth about life after bankruptcy.  You can still buy a home, you can still buy a car, and you can repair your credit score…after filing bankruptcy.

How to Know If You Should File Bankruptcy

How you respond to financial hardship, and how you fix it is where you’ll find your power.  You’re best move may be to gather information about bankruptcy to determine whether or not it may be right for you. To find out if you are a candidate for bankruptcy, reach out to Debt Advisors today.

How Much Does Bankruptcy Cost?

You have the right to ask questions about the costs involved in filing bankruptcy.cost of bankruptcy, how much does it cost to file bankruptcy, cost of bankruptcy in wisconsin

There are firms who are quoting outdated pricing online.  Be sure to get verbal quotes during your first meeting with a bankruptcy attorney.

Bankruptcy lawyers in Wisconsin will expect a small retainer fee, then fees from that point will be charged either by the hour or as a flat rate per case.  Often times, the attorneys who have flat fees will charge that for the bulk of the case, then charge hourly for additional required work.

Choose your attorney based upon the combination of cost, bankruptcy specific experience, comfort-level, client reviews, convenience, etc.

Cost of Chapter 13 Bankruptcy

Filing for Chapter 13 bankruptcy is pretty cut and dry.  Courts within judicial districts have set guidelines for what Bankruptcy Attorneys can charge.  (This means that bankruptcy law firms in our area will have similar charges.)  Those charges, otherwise called attorney fees, are built into the Chapter 13 debt consolidation plan.  Before filing bankruptcy, you should only be responsible to pay for court costs and small portion of the attorney fees.  Pre-filing cost out of pocket should be less than $500.  However, we always recommend asking for the exact amount while talking to your attorney in person.

Get your Free No-Obligation Consultation

If you’re considering filing bankruptcy, we expect that you’ll have many questions.  The simplest and cheapest way to receive solid legal advice is to ask for your one-time, no obligation, and free consultation with a Debt Advisors attorney.  During your consultation, we’ll gather general idea of your financial situation, and answer your questions about bankruptcy, including questions about what bankruptcy will cost.

If during this consultation you chose to hire a Debt Advisors bankruptcy attorney, the retainer fee can cost as little as $100.

Cost of Chapter 7 Bankruptcy

If you’re thinking about hiring a lawyer to file chapter 7 bankruptcy charges can vary much more than filing Chapter 13 bankruptcy.  The differences in fees may depend upon the complexity and specific details of your case.  Some larger firms may charge more to cover advertising, overhead, and experience level.  In general, attorney fees for a Chapter 7 bankruptcy will range from $900 to $2,500.  It is during your free consultation that more accurate costs can be determined.

When Do I Have to Pay for Bankruptcy?

If you are over your head in debt, bankruptcy is likely going to be far more affordable than to remain in your current situation.

Your initial consultation with a Debt Advisors bankruptcy lawyer is 100% FREE.  If you decide to hire Debt Advisors to represent you, some small fees may be expected prior to filing.  These filing fees, if any, will clearly be relayed to you during your consultation.  We have payment plans and we will do everything we can to help you and your family.

Read more about Hiring an Affordable Bankruptcy Attorney

I Can’t Pay My Mortgage; What Now?

save your home from foreclosure, my home, keep my home, stop foreclosureCan’t pay your mortgage?  Wondering, “what now?” The good news is that there is a way to save your home and help get you out of debt, but timing is everything.

Defaulting on Mortgage Home Loan

When a mortgage loan is established, it basically means that the buyer agrees to pay back the lender within a determined time and for a specific cost.  When payment is not made, the lender has procedures to handle the situation.  Most mortgage lenders have some sort of “grace period.”   Even if you’re payment is late, if it arrives within the grace period, you may avoid a late fee.  However, if you have not attempted to contact the lender to negotiate payment and the grace period has expired, the lender will assume that your mortgage is “in default.”  They will make attempts to contact you, and to collect.  If these attempts are unsuccessful, the lender will begin the foreclosure process.

A mortgage loan is considered a “secured debt,” meaning that the lender can ultimately take back your property if the loan goes into default.  File for Chapter 13 bankruptcy to save your home.

Home Foreclosure Facts

  • A foreclosure is started when a summons and complaint is filed by request of your lender.
  • Charges to your account continue, even after it has been deemed as “in-default.” Your mortgage company may charge for property inspections, property preservation services, legal fees, postage, etc.
  • The longer the mortgage is in default, the more difficult and expensive it becomes to bring the account current.
  • The bank may serve an eviction noticecannot take possession of your home until Foreclosure is complete.
  • You have a limited number of days to dispute information you have been served.
  • Contact a bankruptcy lawyer as soon as possible to discuss how to stop the foreclosure from proceeding, and save your home.
  • If you want to take advantage of a Chapter 13 bankruptcy, it must be done before the mortgage company sells your home.
  • All foreclosures must through a court.
  • There is a redemption period is the minimum amount of time you have in the home before the house is sold by auction.
  • If your property forecloses, it is public record.
  • Foreclosure will have a negative impact on credit score making it difficult to get loans in future.

Visit the Foreclosure Resource Center for answers to more of your questions.

The longer you wait to do something, the fewer options you may have.  Don’t fall victim to mortgage relief scams or home rescue scams.  Talk to an experienced bankruptcy attorney today.  The consultation is free.

Your Free Bankruptcy Consultation

What to Expect from Your Free Bankruptcy Consultation

free bankrutpcy consultationIf you don’t feel comfortable talking to family or friends about your debt problem, you’re not alone. Many people who are considering bankruptcy have already tried to fix the problem on their own. The feeling of failure is as overwhelming as the debt itself.

At Debt Advisors, the attorneys don’t want you to feel like a failure. Desperate financial times are often a result of events which were unavoidable from the beginning. The attorneys understand your situation and ARE the people you can talk to without judgement during  your free consultation.  Given that understanding, feel proud that you have recognized the seriousness of the situation and reached out to find someone who CAN help. So, now that you have found Debt Advisors, you may wonder what to expect in your free initial consultation with an attorney. Have your questions ready.

Here are a few items that are commonly discussed during the free bankruptcy consultation:

Is bankruptcy right for me? There are many factors to consider. The attorney will be able to gather a decent amount of information about the details of your financial situation. You should receive solid guidance about potential choices, such as chapter 7 or chapter 13….pros vs cons, and what steps should be taken next. This call should provide you with lots of good advice.

Do I qualify for bankruptcy? After your initial consultation, and if you are interested in moving forward, your attorney will ask you to provide more detailed financial information including the completion of a bankruptcy means test. The test will determine if you qualify for Chapter 7 bankruptcy. Even if you think you make too much money your expenses may be high enough to qualify.

How much does bankruptcy cost? Debt Advisors Law Offices has represented thousands in Wisconsin fairly and responsibly. Online reviews are a good indicator regarding client satisfaction. During the free consultation, your attorney will explain fees and discuss easy payment options.

You’re likely to have lots of questions and the attorneys will as well. Be prepared for the call before you request it by gathering financial data and understanding basic bankruptcy terms.

Take a look at Debt Advisors online Google reviews and customer testimonials from real people…just like you. We hope that you find our website informative and your first call with us encouraging. Also note our professional licensing, time in business, social profiles, resources and six Wisconsin locations to serve you! Debt Advisors is a practice dedicated to bankruptcy and focused on providing each and every client with the fresh start that they deserve.

Is It Right For You? Why People Avoid Bankruptcy

avoid bankruptcySome people avoid bankruptcy, and there are legitimate reasons to do so.  However, many people each year hire a bankruptcy attorney to resolve and eliminate their overwhelming debt. Those clients often express the relief they feel in knowing that their debt will be handled as quickly and painlessly as possible. However, we’re not going to say that the process is “easy” because we know that making that first call to your bankruptcy attorney can be a difficult first step.

Avoid Bankruptcy?

Reasons Why You May Choose Not to File Bankruptcy

• Fear of the unknown. We think you will find that the fear subsides when an adequate amount of information about bankruptcy is obtained to ensure a solid decision can be made. We can help you overcome fears, and gain access to information through a free initial consultation with one of our bankruptcy lawyers.
• Debt load is small. “Debt” levels may be interpreted differently from one household to the next. Debt compared to income will vary. Furthermore, if the ability to repay debt is not there, then bankruptcy may still be a good option. (Even if the debt is perceived to be small.) If you are unsure, seek an experienced attorney help make this determination with you.
• It will ruin credit scores. This is one of the biggest myths. In fact, if you are an ideal candidate for bankruptcy, your credit score is likely suffering right now. Bankruptcy can stop the downward spiral of credit ratings and help your scores to go up over time. In addition, we offer our clients the 720 Credit Score Program.
• It is open public record. Bankruptcy is a legal proceeding that is recorded in public court listings. But, unless you are a celebrity, a major corporation, or you have a family member who religiously reads public court records, there isn’t too much to worry about. The information isn’t printed every day. The financial future of you and your family should be more important than pride.
• We will lose everything. Even a chapter 7 bankruptcy, otherwise known as liquidation bankruptcy, ordinarily allows individuals to protect or exempt all of their property.  Depending upon your personal financial situation and the type of bankruptcy that is filed, you ought to be able to keep your car and your home.

Is Bankruptcy Right For You?

There are many myths about bankruptcy that put fear in front of facts. For many, declaring bankruptcy and committing to better money management are the best avenues towards ensuring a stable financial future. To find out if bankruptcy is the right option for you and your family, make the call today. The bankruptcy attorneys at Debt Advisors Law Offices will evaluate your situation and provide a best scenario or if available, alternative options to consider.