Real debt relief can ease the burden of overwhelming debt. The question is, is it right for everyone? Read on and know the options to explore.

You might face overwhelming debt if you do not make progress on your debt, no matter how hard you try. Know that you are not alone in this crisis. Many people face financial problems at some point in their lives. It can become overwhelming if the situation is caused by family or personal illness, overspending, or job loss. But often, it can be overcome. Your financial crisis does not have to go from bad to worse.

 Look into your debt relief alternatives to break free of this financial burden. These options can change the amount or terms of your debt so you can get back on your feet more quickly. Remember, knowing your options is as important as understanding what the consequences might be.

Debt Relief Through Bankruptcy

Debt relief refers to various strategies for making debt easier to handle. What debt relief looks like for you may hinge on your debts and what you need help with most. It could involve wiping the debt out in bankruptcy, changing your payment schedule or interest rate to lower your settlements, or persuading creditors to agree to accept less than the total amount owed.

There is little point in entering debt management or debt settlement plan if you will not be able to pay as agreed. Before you pursue any debt relief solutions, we recommend talking with a bankruptcy lawyer first. At the Law Offices of Ronald E. Stadtmueller, we do fast resolution and real Debt Relief in San Diego. Our lawyers are guaranteed to be certified bankruptcy law specialists with thirty (30) years of legal experience. Initial consultations (virtual and phone) are free with the expectation that we provide a responsive, thorough understanding of your current financial situation. If, in a circumstance, you do not qualify, you can move on to other alternatives.

Chapter 7 liquidation is the most common kind of bankruptcy. It can delete most credit card debt, unsecured medical loans, and even personal debt. If you qualify, it can be done in three or four months. Here are things you should know: 

  • It would not erase taxes owed or child support obligations, and student loan debt is improbable to be forgiven.
  • Although a BK filing can stay on your credit report for up to 10 years, it will give you a fresh start to rebuild without the baggage of the old debt.
  • If you have used a co-signer, your bankruptcy filing will make that co-signer solely responsible for the debt.
  • If debts continue to pile up, you can’t file another Chapter 7 bankruptcy for eight years.
  • It may not be the right option if you would have to give up the property you want to keep. The rules vary by state. 
  • It may not be necessary if you are “judgment proof,” which means you do not have any property or income a creditor can come after. The creditors can still charge you and get a judgment. However, they would not be able to collect.

Moreover, since not everyone with overwhelming debt qualifies for Chapter 7, you might check for Chapter 13 bankruptcy. The Chapter 13 bankruptcy is a three- or five-year court-approved repayment plan based on your debts and income. If you stick with the program for its full term, the residual unsecured debt is discharged. Although it will take longer than a Chapter 7, if you can keep up with the payments (which most people cannot), you will be able to keep your property. Chapter 13 lingers on your credit report seven years from the filing date.

Resolving Your Immense Debts

In our struggling economy, you deserve relief when a massive debt is crushing you. At the Law Offices of Ronald E. Stadtmueller, we fight for your right to make a fresh start and free you from unmanageable debt and irritating creditors. 

Trust us. Allow our attorney to aid you in regaining a firm financial footing. Our goal is to help you pull off freedom from debt and make a fresh start. Start regaining control today.

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