Phoenix Bankruptcy Lawyers
When you are no longer able to continue servicing your debts, and the only option seems to be bankruptcy, you need to find Phoenix bankruptcy lawyers who can help you file the necessary paperwork. Depending on your individual financial condition, you can apply for either the chapter 7 or 13 bankruptcy. If you are not sure about which chapter is best suited for your unique circumstance, be sure to ask a bankruptcy attorney for advice.
How Bankruptcy Can Help You
When the court declares you bankrupt, your creditors will not be able to come after you. The threatening emails and notices will stop. A bankruptcy can also help you prevent the bank from repossessing your home if your mortgage is in default. In the chapter 13, all creditors including mortgage companies and credit card firms are repaid according to the court approved repayment plan. As long as you continue making regular payments, you can own the house.
Effects of Bankruptcy
Lenders will report you to credit reference bureaus once you file bankruptcy. This will affect your credit score thereby preventing you from accessing cheap loans from lenders. A poor credit score will also prevent you from renting a house, leasing a car and many other things.
Before you start filling bankruptcy-related forms, you must speak to competent Phoenix bankruptcy lawyers like those working for Frutkin Law Firm or Thomas Law Office. These professionals can help you to make an informed decision.