Debt comes in both secured and unsecured forms. When a debt is secured, this means the creditor has the right to take the asset that is tied to the debt, whether it be a home, car, or other property. It is imperative individuals do all they can to get out of debt so they can avoid collection attempts that can become stressful to deal with. Facing debt head on can allow individuals to make satisfactory arrangements so they can get out of debt. When no attempt is fruitful, it can be beneficial to hire a Bankruptcy Lawyer in Grand Rapids MI.
Meeting with a Bankruptcy Lawyer in Grand Rapids MI allows an individual to learn the legal methods that can be used to overcome their debt. Bankruptcy is an option for those who are dealing with more debt than they can handle. There are two types that may be filed by individuals. Chapter 7 is a type of bankruptcy that most closely meets the needs of those who have mostly unsecured debt while chapter 13 can help homeowners avoid foreclosure.
Means testing is required before a person can find out which bankruptcy will be most beneficial. This testing verifies the information on a person’s assets so the court can determine if they meet the eligibility requirements of filing for chapter 7. If their income is not above the state’s median, they will likely be approved, though some of their assets may be liquidated to pay off the debts they owe.
If a person is not eligible for chapter 7, they may file chapter 13 which does not require liquidation. A person simply works with their lawyer to draw up a structured payment plan to submit to the court. This helps them overcome their debt within two to five years, depending on the amount of time the court grants for their bankruptcy period.
Those who are finding themselves in great debt are urged to contact a lawyer right away. Call the Bleakley Law Offices P C and ask them about scheduling a consultation appointment to get started on the process of overcoming debt as quickly as possible.
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