When deep in debt, one of the few options that people often have is filing an insolvency petition with the help of a bankruptcy lawyer Salt Lake City. This will help them pay their outstanding debts comfortably and get legal protection from creditors and debt collection agencies. Below are some tips to make the entire process of declaring bankruptcy easier.
The most common common type of insolvency is the chapter 7. When a petition for this chapter is filed, a trustee is appointed by the court to vet the applicant and oversee the liquidation process. The non-exempt assets of the applicant are normally valued and auctioned off by the trustee. The proceeds of the sale are used to settle the debt of the applicant. Exempt assets are not usually touched during liquidation.
Any business organization that still has a reliable source of revenue qualifies for chapter 11. If an enterprise is making losses and may not be able to pay off its debts, even with modified repayment terms, liquidation will be done to offset its debts through chapter 7. If a repayment plan has been approved but the business owner is unwilling or unable to honor the terms, liquidation will also be done to recover funds to repay the debt.
Bankruptcies can either be involuntary or voluntary. The latter is where a debtor asks the court to declare him or her bankrupt in order to get legal protection from collection agents and creditors. The former is where creditors petition the court to declare a debtor bankrupt so that they can get back what is owed to them. In both cases, there are rules and regulations to be adhered to by both parties. Therefore, hiring an attorney to provide legal advice is important.
Individuals qualify for both chapters 7 and 13. The latter is more advantageous because liquidation is not done. The debtor is also required to propose a repayment plan that is conducive to him or her and present it before the court and committee of creditors. If approved, the plan must be followed to the end. Upon completion, all debts in question will be forgiven. However, any default will lead to conversion of the chapter to outright liquidation.
Bankruptcies have several benefits to all parties involved. For instance, it gives creditors a chance to recover their money. Debtors on the other hand, get protection of the court from collection agencies and creditors. They also get a chance to get rid of all their bad debts. That said, working with a qualified attorney is important.
An experienced bankruptcy attorney can help you to complete forms and file them with the appropriate court. The lawyer can also interpret legal jargon for your easy understanding. He or she will also represent you in court.
When looking for a bankruptcy lawyer Salt Lake City debtors should always take their time to carry out a little bit of research. The Internet has a lot of information about attorneys who practice in Salt Lake City. Therefore, you can easily find a suitable attorney using your Internet-enabled cell phone or PC.
The most common common type of insolvency is the chapter 7. When a petition for this chapter is filed, a trustee is appointed by the court to vet the applicant and oversee the liquidation process. The non-exempt assets of the applicant are normally valued and auctioned off by the trustee. The proceeds of the sale are used to settle the debt of the applicant. Exempt assets are not usually touched during liquidation.
Any business organization that still has a reliable source of revenue qualifies for chapter 11. If an enterprise is making losses and may not be able to pay off its debts, even with modified repayment terms, liquidation will be done to offset its debts through chapter 7. If a repayment plan has been approved but the business owner is unwilling or unable to honor the terms, liquidation will also be done to recover funds to repay the debt.
Bankruptcies can either be involuntary or voluntary. The latter is where a debtor asks the court to declare him or her bankrupt in order to get legal protection from collection agents and creditors. The former is where creditors petition the court to declare a debtor bankrupt so that they can get back what is owed to them. In both cases, there are rules and regulations to be adhered to by both parties. Therefore, hiring an attorney to provide legal advice is important.
Individuals qualify for both chapters 7 and 13. The latter is more advantageous because liquidation is not done. The debtor is also required to propose a repayment plan that is conducive to him or her and present it before the court and committee of creditors. If approved, the plan must be followed to the end. Upon completion, all debts in question will be forgiven. However, any default will lead to conversion of the chapter to outright liquidation.
Bankruptcies have several benefits to all parties involved. For instance, it gives creditors a chance to recover their money. Debtors on the other hand, get protection of the court from collection agencies and creditors. They also get a chance to get rid of all their bad debts. That said, working with a qualified attorney is important.
An experienced bankruptcy attorney can help you to complete forms and file them with the appropriate court. The lawyer can also interpret legal jargon for your easy understanding. He or she will also represent you in court.
When looking for a bankruptcy lawyer Salt Lake City debtors should always take their time to carry out a little bit of research. The Internet has a lot of information about attorneys who practice in Salt Lake City. Therefore, you can easily find a suitable attorney using your Internet-enabled cell phone or PC.
About the Author:
When you are in need of a credible bankruptcy lawyer Salt Lake City has one of the best right here at www.jdmilliner.com. For a consultation with our lawyer, log on to http://www.jdmilliner.com.
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