Unfortunately, no one can anticipate after buying a home if a situation will arise where the payments will get too far behind. Yet it happens to a lot of individuals and families who have some sort of financial setback and find themselves in the predicament of about to lose their homes. Bankruptcy Lawyers in Tallassee, AL help clients avoid foreclosure if there is any way possible for them to do so. Here is a look at what potential clients should know ways to avoid home foreclosure through a bankruptcy law firm.
What Type of Bankruptcy is Needed to Avoid Foreclosure
If an individual or a family expects to avoid foreclosure, the type of bankruptcy that will be accepted is a Chapter 13, also known as a reorganization of the debt. In Chapter 13, all the debts of the client are gathered up for the courts to decide which creditors will have to be paid, and which can be thrown out. The creditors that remain will follow a court order in which the judge will determine how much the client has to pay back.
More about Chapter 13 Bankruptcy
If a client tries to file a Chapter 7 bankruptcy, all the qualifying assets will be liquidated, and this usually includes having to give up the home for peace of mind. However, in Chapter 13, the client gets to keep not only the house but other items too, as long as the debts are made current at the time of the bankruptcy process. This method may take about three to five years to pay off, depending on the number of bills the debtor owes out. A bankruptcy lawyer can help a client implement a better plan.
A Bankruptcy Lawyer for Help
An individual or family can find a lawyer or law firm that deals specifically with bankruptcies in the townhouse. Courtney & Mann LLP is a law firm that handles criminal cases, personal injury law, family law, and bankruptcy cases for clients. If an individual or a family needs Bankruptcy Lawyers in Tallassee, AL, the law firm is available and provides more information on the website.
