The decision to seek bankruptcy protection is not something to make lightly. In fact, most people will try just about everything they can think of before choosing to make a call to a bankruptcy attorney in Ozaukee WI. Once the call is made and the initial consultation is set, it pays to make a list of questions take along. Here are a few to include on that list.
What are the Options for Personal Bankruptcy?
Many people have a general concept of bankruptcy, but they know little about the particulars. The Bankruptcy Attorney in Ozaukee WI will go over each of the options that are currently available, even the ones that may not be relevant to the debtor. For example, not everyone knows there is a form of personal bankruptcy just for those involved with farming. Once the generalities are gone over, it will be easier to focus in on the options that are possible for the client.
How Do People Qualify for Bankruptcy Protection?
Not everyone meets the criteria for all forms of personal bankruptcy. As the attorney will explain, there are qualifications associated with each choice. For example, if the details of the situation indicate that the client would be able to repay the outstanding debts while under the protection of the court, filing a Chapter 7 bankruptcy may be out of the question. That paves the way for filing a Chapter 13 action. The latter stops the accrual of any additional interest charges and involves making payments directly to the court. Over a period of three to five years, creditors are paid at least a percentage of what they are owed. Once the terms of the bankruptcy are fulfilled, the court will discharge the protection and the matter is closed.
What About Taxes?
While there are limited situations in which taxes can be discharged in a Chapter 7 bankruptcy, doing so is not easy. Most people will find that a Chapter 13 is the best way to deal with back taxes. This approach places the debtor under the protection of the court and prevents tax agencies from placing liens on bank accounts of seizing property. What it will do is ensure the debtor pays the taxes back at a rate that is manageable.
For those who see no way to honor their debts, call a Bankruptcy Attorney today. Doing so will be the first step in regaining control of the finances.
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