The Power of Consumer Protection with a Bankruptcy Lawyer in Villa Rica, GA
Filing for bankruptcy is a consumer protection option that stops creditors from various collection actions. This legal action is powerful enough to help many people avoid losing their homes to foreclosure or to stop lawsuits from credit card companies. In some cases, certain unpaid income taxes can be discharged, or a more affordable payment arrangement can be set up than the Internal Revenue Service normally allows. A Bankruptcy Lawyer in Villa Rica GA helps clients finally get some relief from the anxiety and even outright fear they have been feeling. They still have work to be done on their finances after filing, but they no longer have to deal with collections calls and threatening mail.
When a bankruptcy lawyer in Villa Rica, GA sets a client up with a chapter 13 filing, this is a reorganization plan through which the individual has the chance to pay back the money owed within a certain number of years. Often, a mortgage company will not directly offer this type of arrangement to its customers; it may demand an arrangement with monthly payments that are simply too high for the homeowner to make. If the person’s current income is high enough, however, chapter 13 will spread the back payments out over several years. When a lending institution doesn’t work with someone, bankruptcy is a viable alternative.
A similar situation may exist with the IRS for some individuals. Although they may now have enough income to make regular payments, the IRS may set a threshold that is too high for them to afford each month. A chapter 13 filing allows these citizens to catch up on their back taxes and not have to face the stress of tax court.
The idea of bankruptcy is to help people make a fresh start, and if they cannot afford a reorganization that requires regular payments to creditors, chapter 7 is another option. They will have to dissolve some of their assets to pay creditors, but much of the debt is essentially wiped away. A law firm such as the Offices of Daniel M. Barnes can provide further details on the power of this consumer protection legal strategy. Click here for contact information.
