Browsing Category



Learning How Children’s Accounts Are Affected When Parents File Bankruptcy

When parents of minor children decide to file bankruptcy in Valdosta under Chapter 7 protection, they may wonder how this will affect the youngsters. They may worry about other people finding out and viewing the family negatively. They’re afraid they may be required to sell some of the children’s belongings. They don’t know how bankruptcy will affect savings accounts they have set up for the kids.

A Child’s Belongings and Bank Accounts

Typically bankruptcy trustees are uninterested in acquiring money from selling children’s possessions unless there is something very valuable. A child’s savings account in a bank or credit union usually is exempt from the dissolution requirement applied to the general savings accounts of adults who file bankruptcy in Valdosta. The same is true for 529 educational funds. These financial instruments are intended to encourage parents to save for a child’s future education by offering tax advantages.

An Important Point

One important point, however, is when money was last deposited. Bankruptcy trustees must look for evidence of fraud. Examples include a person funneling money into accounts that are exempt or running up credit card balances within a few months to a year before filing. In those cases, the recent deposits may not be exempt, and the recent credit card charges might not be discharged.

An exception may be made if there are records showing that any recent deposits to a child’s savings account were not from the parents. Money might have been a gift from grandparents or godparents, for example. A younger teenager might have been earning money by mowing lawns, delivering newspapers or babysitting.

For more information visit Charles Farrell Jr. LLC.

46414989 - legal law concept image

How to Overcome Debt with Help From the Chapter 13 Bankruptcy Attorney in Kingsport TN

Debt can quickly take over and cause a person to feel completely overwhelmed. The stress of constant collection calls and letters can take their toll. Thankfully, individuals do have the right to pursue bankruptcy to legally overcome their debt. Getting help from the Chapter 13 Bankruptcy Attorney in Kingsport TN will help to ensure the individual takes the right steps towards freeing themselves of the debts they owe.

What Should Individuals Know About Chapter 13?

Chapter 13 is a type of bankruptcy that is often referred to as the “wage earner’s” bankruptcy. In this type, the individual must prove they have a reliable income coming in each month. The attorney will help their client to draw up a structured payment plan so it can be submitted to the courts.

The judge will decide if the structured payment plan is approved. If approved, the bankruptcy will be granted and the individual will be required to make a single payment to the court each month. This amount will be distributed among the creditors that are owed by the individual. Individuals are given three to five years to pay off the debt they owe, depending on how much debt they owe and their income.

How Will an Attorney Help?

When an attorney is hired for bankruptcy, they immediately go to work on ensuring their client qualifies. The Chapter 13 Bankruptcy Attorney in Kingsport TN will take over all the paperwork and the steps involved in pursuing the bankruptcy.

Getting help from an attorney makes the process much easier to go through and helps individuals to have peace of mind in knowing their case is in good hands. With the help of the attorney and the bankruptcy process, the creditors will be forced to cease and desist so they can no longer pursue the individual for the debts owed.

If creditors are calling you on a daily basis and the stress is rising, Chapter 13 may be right for you. For more information, Browse Call the office today if you would like to schedule a consultation. They will help you every step of the way to overcome your debt.

11697903 - attorney at law sign

Look for the Right Bankruptcy Law Firm in Waldorf, MD When You’re in Financial Straits

If your bills are becoming more and more difficult to keep up with, it may be time to contact a professional bankruptcy law firm. This is especially important if you find yourself skipping payments because you cannot afford to make them. Although bankruptcy is usually considered a last resort, it is good to know you have that option, and a good to can help get the process started so that all of it is a little easier on you.

Stop the Harassment Immediately

The best part about working with the right bankruptcy law firm is that as soon as the paperwork is filed, your creditors will stop calling you, and that alone can be a stress reducer. The lawyer will also go over the different types of bankruptcy with you so that you can decide which one is best for you. The two main types include a way to eliminate your debt entirely and a way to pay back your creditors over time, and a good bankruptcy law firm will go over each of them in detail so that you know what to expect afterwards.

Giving You Back Your Life

Having debts you are unable to pay can wreak havoc on your entire life, but bankruptcy offers a way out that is both simple and fast. You can ok to learn more about the process and the law firms that offer this service, and it is easy to get any questions answered because the first consultation is usually free. Under the law, you have a right to declare bankruptcy, so it is never something to be embarrassed or apprehensive about. The right law firm will make you feel at ease from the very first visit, making the entire process much easier on your part.