Bankruptcy law can be complex; you need someone to educate you on why bankruptcy will work for you. Depending on the form of personal bankruptcy you choose, Chapter 7 or Chapter 13, there are many benefits to filing. This guide focuses on Georgia, but the reality is that federal bankruptcy laws are uniform in most ways, except where you file, who can file, and what kinds of debt counseling you take.
You can eliminate credit card debt with Chapter 7 bankruptcy. For Georgia homeowners, filing for Chapter 13 bankruptcy can help you avoid foreclosure. There were tens of thousands of foreclosures in Georgia in 2009, including more than 30,000 in the third quarter of 2009 alone, but many of them could have been prevented.
There are many other key benefits of filing for bankruptcy, including:
-Peace of mind
-Free from creditor harassment
-Debt release
-More time to pay bills
Hiring an experienced attorney is clearly an effective way to begin the process of rebuilding your finances. You may think that filing in court is your first step to getting a second chance. In fact, hiring a good Georgia bankruptcy lawyer is the first step.
Because? Let’s review six benefits of hiring a Georgia bankruptcy lawyer. This goes over the details on how Georgia bankruptcy works, that is, with eligibility for Chapter 7 and Chapter 13 bankruptcy allowed in Georgia.
Learn About Georgia Bankruptcy Laws
A professional bankruptcy attorney does more outside of the courtroom than in it. For one, an understanding of the laws is needed to obtain a successful bankruptcy. It’s true that most bankruptcies are straightforward, but that’s because an experienced attorney knows the laws, knows your options, and can help you if there are problems big or small with paperwork, your income, and more. You can find experienced Georgia bankruptcy attorneys at the Georgia State Bar Association (which are online).
Help with Documentation
Most bankruptcy filings require little information from you. With Chapter 7, you rarely have to go to court. With Chapter 13, it often goes to court, but it is very short. A good bankruptcy lawyer handles most of the negotiations in court. He will file the lawsuit in the Middle District Court of Georgia, the Northern District Court of Georgia, or the Southern District Court of Georgia, depending on where he lives.
Also, income comes into play whether you file for Chapter 7 or Chapter 13, specifically in Georgia. Let’s say you are a single resident living in Georgia with an income of less than $40,691; in this case, he is eligible for Chapter 7. If he makes more than $40,691, the current Georgia median income, he will likely have to file for Chapter 13 bankruptcy. This is because you make too much money; most are at least eligible for Chapter 13, unless the secured and unsecured debts are too high. If you are in a different state, you should find out about eligibility based on median income.
Save time
Filing bankruptcy takes time. You typically wait 3-4 months for a Chapter 7 bankruptcy discharge, where your assets (if you have any) are liquidated by a trustee appointed by your Georgia bankruptcy court and debts discharged. Chapter 13 bankruptcy takes longer, usually 3-5 years. You will have to follow many laws during the process, particularly about taking Georgia debt management classes and other requirements. A skilled bankruptcy attorney can oversee the entire filing and discharge process, saving you time.
Save money
A bankruptcy attorney can also save you money. But they charge fees, right? Yes, they do, but when you think about how bankruptcy works, you’ll see the value of talented legal counsel. In Chapter 7, he can eliminate thousands, if not tens of thousands of debts. With Chapter 13, the house he worked for his entire life can be saved.
do it quickly and painlessly
Although Chapter 13 takes more time than Chapter 7, a professional attorney can make this entire process a breeze. He or she will educate you on his or her options, whether you are eligible for Chapter 7 or Chapter 13 bankruptcy in Georgia based on your income, as well as advise you on how to save your home.