What to Know about Filing for Bankruptcy

If you are severely in debt, the only viable option may be filing for bankruptcy. You can make this decision without any regrets if you are aware of certain factors.

When Business Is Tough: Dealing with Bankruptcy

As a business owner, you may be faced with hard financial times. The funds may be running low, causing you a lot of stress. While it may seem impossible to be out of a financial rut, there are ways you can deal with the scenario. Below are some tips:

Tips on Hiring a Collection Attorney to Defend You Against a Lawsuit

When a collection lawsuit is filed against you, consider hiring a collection lawyer right away. Thinking of representing yourself in court or taking the lawsuit for granted will not do you any good. If the court determines your lack of response, it can make a judgment without proceedings, and that judgment will almost always not favor you. Here are some tips that can help you when hiring a collection attorney.

Take Immediate Action

When served a lawsuit, you have about five days to respond. Failure to do so will lead to a court judgment against you. Given this, you must take immediate action and look for a lawyer who can help you deal with the problem. You need someone who understands the law governing debts and knows how to respond quickly to the summons attached to the lawsuit.
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Eligibility Tips to Follow When You’re Filing for Chapter 7 Bankruptcy

Those who are no longer capable of paying all their debts can choose to file for Chapter 7 bankruptcy. Under this process, a debtor will liquidate assets to produce amount that can be used to pay the creditor. The creditor will then discharge the remaining debt, allowing the debtor to have a fresh start without any unpaid bills. Not everyone, however, is eligible for Chapter 7 bankruptcy. If you’re planning to use this option to get rid of your debts, first determine your eligibility.

Pass the Bankruptcy Means Test

The means test is designed to determine if your income level is indeed low enough for a bankruptcy. This is carried out by comparing your monthly income with the median family income the state sets for the size of the family you have. If your monthly income is higher, you won’t be approved for Chapter 7 bankruptcy. You can, however, try a Chapter 13 bankruptcy.
http://www.ruffilaw.com/eligibility-tips-follow-youre-filing-chapter-7-bankruptcy/

How a Collection Attorney Can Protect Your Rights When Faced with Debt

If you are facing regular contact from a debt collection service, you might feel overwhelmed and unsure of your legal rights and obligations. In this type of a situation, having an attorney to represent you can help to protect your rights under the law. An attorney can provide you with information and may be able to represent you if you try to settle your debts through personal bankruptcy or other means. Unwanted Debt Collector Contact A collection attorney may be able to help you if you are receiving unwanted contact from a debt collector. Collection agencies must abide by the Fair Debt Collection Practices Act (FDCPA), which is enforced by the Federal Trade Commission. This law stipulates that debt collectors may not use abusive or deceptive techniques to collect money from you.
http://www.ruffilaw.com/how-a-collection-attorney-can-protect-your-rights-when-faced-with-debt/

How Chapter 7 Bankruptcy Can Help Businesses Solve Their Debt Problem

There may come a time when you can't make a business loan payment or fail to make a personal credit card payment on a balance used to fund your company. If talking to your creditors about alternate payment arrangements fail and you have no other options to resolve your debt issues, it may be a good idea to look at bankruptcy. How can a liquidation bankruptcy help a business owner? Learn the answer to this question below: What Is a Liquidation Bankruptcy? Under Chapter 7 of the bankruptcy code, debtors have the right to have their assets liquidated and the money used to pay off creditors. For businesses, filing for Chapter 7 bankruptcy means selling off company assets and using that money to pay off creditors up to the amount raised through liquidation.
http://www.ruffilaw.com/how-chapter-7-bankruptcy-can-help-businesses-solve-their-debt-problem/

What Not to Do When Filing for Bankruptcy

As people say, bad things often happen to good people. Nowhere is this truer than when people are forced to file for bankruptcy after a serious illness or divorce. The great thing about bankruptcy is that it will pardon a petitioner of most of the debt they owe.

That being said, a bankruptcy filing is still a legal process, and as such, it requires a petitioner to accomplish all steps accurately and avoid these missteps so that the court won’t dismiss his or her plea.

Failing to Declare All Income Sources

An important part of the bankruptcy process involves declaring all your income sources to demonstrate that you do not have the means to pay off creditors. This means that if your child works part time after school, his or her income should be declared in your filing, too.