Bankruptcy Attorney Junction City OR
If you’re in a difficult financial position, you might be contemplating bankruptcy. While bankruptcy may not seem like an ideal option, it’s there to protect you from insurmountable debt and is necessary to a healthy economy.
For the past 15 years, Tom has provided expert legal counsel to those struggling with debt problems. For the past 10 years, he has been a solo practitioner of bankruptcy law, providing one-on-one counsel to those in serious debt.
Unlike larger law firms, Tom will meet you face-to-face and go through all your options. Butcher Law Office does not operate on a factory model. We provide compassionate person-centered services to you while you work your way through one of the most difficult times in your life.
In this article, we’ll discuss the types of services we provide and how they can help you.
Chapter 7 Bankruptcy
Chapter 7 bankruptcy is also called “liquidation” bankruptcy. It is a type of bankruptcy that is available to individuals and couples allowing for the discharge of unsecured debt. Unsecured debt is debt that is not secured against collateral. This includes credit card debt, personal loans, and medical debt.
While Chapter 7 can sometimes involve the liquidation of valuable assets, chances are, you don’t have any valuable assets to liquidate. Most Chapter 7 cases end without any assets being liquidated and debtors are allowed to protect up to a certain amount of money from liquidation.
After your Chapter 7 bankruptcy is completed, all unsecured debts will be discharged. You can then begin rebuilding your credit without thousands of dollars worth of debt crippling your finances.
The lone disadvantage is that your credit will take a temporary hit. Chances are, your credit wasn’t in a very good place before filing for bankruptcy. The Chapter 7 will remain on your credit report for ten years, but once you begin building positive credit, creditors will consider your latest credit activity over something that happened in the distant past.
Chapter 13 Bankruptcy
Unlike Chapter 7, Chapter 13 gives those in debt a chance to organize all of their debts into a lump-sum payment. This payment is made monthly over the course of three to five years. It allows you to repay arrearages on your home or car while you continue to make payments moving forward. It is uniquely suited to handling secured debts like mortgage payments or car payments.
Unsecured debts like credit card payments or medical expenses are rolled into your Chapter 13 repayment plan, but in most cases, you will not have to pay off the entirety of those debts. Unsecured debts are given the lowest priority in Chapter 13.
Another advantage of Chapter 13 is that it does less damage to your credit score than Chapter 7. Not only does the bankruptcy last for fewer years on your credit report, but your credit score is likely to take less of a hit since less of your overall debt is discharged.
If a creditor files a lawsuit against you and gains a judgment from the court, they can begin taking more aggressive collections actions. These include wage garnishments, real estate liens, and bank levies. We want to avoid these before they happen.
Liens can be very difficult to get rid of and they make it more difficult to sell your home. The proceeds of any sale would go to your creditor to repay the debt. Bankruptcy will not eliminate a lien.
To garnish your wages, a creditor must contact your employer and issue notice that you owe them an outstanding debt. Your employer is then obliged to withhold some of your wages until the debt is repaid in full.
Obviously, you don’t want your employer knowing about your financial problems. Nor do you want to lose any of your wages. Filing for bankruptcy can prevent this. Bankruptcy can also stop a wage garnishment order that is already in effect.
For more information, schedule a free hour-long consultation with Butcher Law Office, LLC.
Preventing Foreclosure in Junction City, OR
If you fall behind on your mortgage payments, it won’t be long before your mortgage lender begins making moves to collect the debt. Their nuclear option is foreclosure. Essentially, they force you out of your home.
Not only can filing for bankruptcy stop a foreclosure in its tracks, but Chapter 13 bankruptcy may also allow you to save your home.
If you’re struggling with the possibility of foreclosure, call Butcher Law Office, LLC today. We can help.
Stop a Car Repossession in Junction City, OR
When you file for bankruptcy all creditor actions against you must stop. This includes a car repossession. While this may delay the repossession, to save your car, you can file for bankruptcy under Chapter 13 and fold your arrearages into your repayment plan.
Debt Collector Harassment
While debt collectors are allowed to call you and send you mail notifying you of a debt, they cannot harass you, berate you, swear at you, or lie to you. In some cases, the debt they say you owe may be expired. If the debt is expired, there is no situation under which it will benefit you to repay the debt.
If you’re concerned about a debt collector, talk to Tom before making a payment.
Talk to a Bankruptcy Attorney Today
Butcher Law Office, LLC is committed to giving each of our clients the individual attention that they deserve. We do not treat you like a case file. We meet you in person and we will talk about your financial situation. Call us today to schedule a free hour-long consultation.
The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for advice regarding your individual situation. Contacting us does not create an attorney-client relationship.