Bankruptcy can be an effective tool to help you get rid of debt and reduce stress. It is important to remember that bankruptcy does not necessarily mean you can get rid of all debt.
For those with severe debt, filing for bankruptcy can be an effective tool. This can stop any collection actions, including garnishment of wages, intrusive calls, and lawsuits. However, there are exceptions. This tool is powerful because it can eliminate some of the most common debts such as credit card debt, medical bills, and personal loans.
However, bankruptcy will not eliminate all creditors or all debts. You will still have to pay student loans, child support, and most tax debts, even if bankruptcy is filed.
What Can File For Bankruptcy Do For You?
One of the greatest reliefs that a bankruptcy filing could provide is to get rid of certain obligations. Families can get a fresh start by filing for bankruptcy.
There are two main types of bankruptcy filings: Chapter 7 and Chapter 13. Each filing will treat your property and debt differently. You should consult a bankruptcy lawyer to determine which bankruptcy type is best for you and your situation.
Different Types Of Debt
When filing for bankruptcy, the most important thing is to know which debts are being wiped out and what obligations you still have to pay.
This post was written by Trey Wright, one of the best bankruptcy lawyers in Tallahassee Florida! Trey is one of the founding partners of Bruner Wright, P.A. Attorneys at Law, which specializes in areas related to bankruptcy law, estate planning, and business litigation.
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