Can A Bankruptcy Lawyer Dallas TX Save Your Finances?

With the ups and downs the economy has taken in recent years, it’s no surprise that many people – and many businesses, are struggling financially. While bankruptcy used to be a kind of taboo subject in the financial world, this is no longer the case. Bankruptcy is more common, and more widely accepted, than it was just a few years ago. Those considering taking this step should have a bankruptcy lawyer Dallas TX on their side to represent them.
What is Bankruptcy?
When an individual or business owner has debt that is out of control, they can file for bankruptcy. There are a few types of bankruptcy, but in each the idea is the same: debts are forgiven or lessened, but at a cost. In most cases, the bankruptcy process takes four to six months, and sometimes longer. A person can only file for bankruptcy once every six to eight years.
Chapter 7
* When a business owner files for Chapter 7 bankruptcy, the company goes out of business and shuts down completely. Any leftover assets are used to pay off debts. When an individual files for this type of bankruptcy, they can usually keep their home, but not in every case. And many other assets are sold to pay off debt. Some debts that Chapter 7 does not take away include student loans, property taxes, child support debt, and others.
Chapter 11
* Unlike Chapter 7, Chapter 11 bankruptcy does not mean debts are forgiven automatically. Rather, a company’s assets and finances are reorganized. More complicated, costly, and time-consuming than other types of bankruptcy, Chapter 11 isn’t easy. Corporations sometimes file for Chapter 11 when they need a window of time to reorganize debts, assets and other financial affairs and figure out a better route.
Chapter 13
* This type of bankruptcy is basically a reorganization of an individual’s (or company’s) assets and finances. Rather than closing a business immediately or liquidating assets (like with Chapter 7), a payment plan is set up with the courts instead. This option is for those who have debt but also have a good income still, who can realistically pay debts back within the allotted time.
Is All the Debt Just Gone?
There is a myth that bankruptcy takes away all debts without restrictions or questions. This simply isn’t the case because if it were that easy, everyone would do it. Debts are paid back with bankruptcy, whether it’s through the selling of personal or business assets. Some debts are excluded, including child support fees, crime restitution fees, and a few others.
Like every action, filing for bankruptcy comes with its consequences. While it takes the financial burden and strain off individuals and business owners, it does affect long-term credit and can make it difficult for filers to rebuild credit. Because it has huge consequences, it’s best to first try credit counseling to explore any and all other options. It’s also important to have a bankruptcy lawyer Dallas TX to be sure every step is taken correctly.
How Easy is it to File for Bankruptcy?
People who want to file for bankruptcy have a few hoops to jump through first. By law, they are required to go to credit counseling and work with credit experts to determine if there are any other avenues they can take. If bankruptcy is the absolute only option left, the credit counselors can give them the okay to file.
Filing for bankruptcy costs around $ 1,000 – $ 1,300, depending on what area you’re in. Attorneys fees are added on top of that. Having a bankruptcy lawyer Dallas TX is the best way to make sure all the proper steps are taken. Because bankruptcy is a major financial decision that affects finances for years, it is best to have legal guidance with a lawyer.
bankruptcy lawyer dallas tx
Bankruptcy Lawyer Dallas TX
10300 N Central Expy STE 252
Dallas, Texas 75231
(214) 369-1040 Anyone considering bankruptcy should have a bankruptcy lawyer Dallas TX on their side. William Kunofsky is one of the best. Call us today at 214-369-1040.

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