In Washington, bankruptcy is a way to become debt-free if the consumer has an effective plan. The type of bankruptcy that they file for determines what is possible for the consumer. Reviewing what to discuss with a Cheap Bankruptcy Attorney In Olympia WA helps the consumer make choices about their current financial status.
Is Bankruptcy Necessary?
The attorney reviews the consumer’s debts and determines if bankruptcy is the most suitable option. Whenever possible, the attorney sets up settlement offers with creditors to eliminate debts quickly. The arrangements require either a lump sum payment or installments. If the debts are managed through settlement offers, then the consumer doesn’t need to file for bankruptcy.
Is the Consumer Eligible for Bankruptcy?
Eligibility for bankruptcy is available to consumers who have either an income above the average of for their household or enough assets to pay off debt. Chapter 13 requires the higher than average income, and chapter 7 requires adequate assets to generate funds to pay off the debts. The attorney evaluates the eligibility requirements for the selected chapter and determines if the consumer qualifies.
How Does Bankruptcy Work?
Chapter 13 is a repayment plan that is structured to pay off most debts within 3 to 5 years. It requires the consumer to make monthly payments according to the schedule chosen by the court. With chapter 7, the court manages the liquidation of their assets to pay off their debts.
How are Debts Discharged?
Unsecured credit cards are discharged in bankruptcy. If the consumer completes the program as directed, then the court discharges the debts. Once discharged, the consumer isn’t responsible for the debts anymore. The attorney helps the consumer review their volume of debts and determine what debts could be discharged by the court.
In Washington, bankruptcy provides consumers with a way to eliminate debt and avoid further credit-related issues. An attorney helps consumers choose the most suitable chapter to pay off their debts. In some cases, bankruptcy isn’t the only answer, and attorneys help consumers set up arrangements for settlement offers. Consumers who want to learn more about bankruptcy contact a Cheap Bankruptcy Attorney In Olympia WA and schedule an appointment today.