Common Questions about Bankruptcy in Alabama

Bankruptcy is a process no one wants to go through. Nonetheless, it is a solution to financial problems that can help a lot of people. Filing for bankruptcy is about creating a suitable plan and regaining financial stability. There are some limitations to this process and many trade-offs to consider. Our Firm can help you choose the best path forward.

LaPlante, Merritt, Faulkner, Wilson, & Clay has years of experience helping clients improve their financial situation. We can help you analyze your specific situation and chart the best course of action. If you’re considering filing for bankruptcy read this article and contact us

What Bankruptcy can do for you

Filing for Bankruptcy can be a sigh of relief for many Alabamians. It is a potent solution to issues relating to debt and debt collectors as well as securing future financial stability. First, let’s address some myths surrounding this process.

  • Bankruptcy does not mean you will lose your home and your property. Both Chapter 7 and Chapter 13 bankruptcies may allow you to keep certain property. 
  • Your credit score will not be permanently ruined. This legal process is all about the long term. Although your ability to get a loan and buy certain assets will be impacted it is not permanent and can be resolved.
  • You do not have to file jointly with your spouse.

One of the biggest benefits of filing for bankruptcy is known as an automatic stay. A stay is a legal guarantee that creditors and lawsuits cannot be filed against you once you submit a filing. There are few exceptions from this. Your car, house, and paycheck can be protected once you have filed. 

Bankruptcy can also help you manage unsecured debt. Unsecured debt is present usually in the form of credit card debt, loans, and medical bills. If these things are affecting your ability to financially function properly then filing could help you. Other forms of debt can also be restructured. This can allow you to better meet your payments without taking away all your money. 

Overview of Bankruptcy Exemptions in Alabama

It’s safe to say that understanding exceptions should be left to a qualified professional like those at our firm. There are many exceptions and they deal with the specific chapter of bankruptcy you are filing. Exceptions are sections of the law used to help you keep some assets in the event of a bankruptcy. They can help you retain property, both real and personal. If you want to find out more about this section of the bankruptcy codes, click here

Contact Us Today

Do you live in Alabama and believe you cannot pay your debts? If you want further information about Alabama Bankruptcy Laws, contact the experienced legal team at LaPlante, Merritt, Faulkner, Wilson & Clay, LLC today.

We will talk you through your options and advise you of the best course of action based on your individual circumstances.

Call us at (256) 236-7354 to schedule a consultation and learn more about bankruptcy and how it can affect your life.

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