Understanding Your Bankruptcy Options

For many individuals and families in Fayetteville and others throughout Cumberland County in North Carolina, substantial debt and other financial challenges can quickly go from being a nuisance to a seemingly insurmountable problem. Whether you face foreclosure, past-due notices in the mail, creditor calls at home and work, wage garnishment, or other debt and collections issues, our team at Smith, Dickey & Dempster P.A. can help you discover your options for achieving a clean slate.

Guiding You Toward A Fresh Financial Start

The two most common types of bankruptcy filings are Chapter 7 and Chapter 13. Each bankruptcy type can help stop foreclosure and harassment by creditors as soon as you file for bankruptcy. Here’s what you should know about each type of bankruptcy to make an informed decision:

Chapter 7: Often referred to as liquidation, Chapter 7 allows debtors with sufficient nonexempt assets to liquidate those assets and put the proceeds toward a portion of the debt owed. Any remaining qualifying debts will be discharged. Your lawyer can explain which assets are exempt and outline options for keeping your home safe during foreclosure.

Chapter 13: Instead of asset liquidation, Chapter 13 helps debtors gradually pay down their debts. Often called a wage earner plan, Chapter 13 is often reserved for those whose income disqualifies them for Chapter 7. At the end of the three- to five-year repayment period, remaining unsecured debts will be discharged.

We believe in the importance of educating our clients. There are plenty of myths and rumors out there concerning bankruptcy, and many people come to us with false notions. By working closely with you, we can debunk these rumors and provide you with the facts. Even if filing for bankruptcy isn’t in your best interests, we have the resources and experience to help you determine the best course of action.

Learn About Your Options For Financial Relief

You do not have to continue being overwhelmed with debt and facing foreclosure, repossessions, liens, garnishments and aggressive collection efforts by creditors. Our attorneys will help you explore your options for a fresh start. Bankruptcy may provide the protection you need to keep your property and the breathing room you need to clear up your debt.

Schedule a free consultation to learn more about bankruptcy and the protections it provides. Call or fill out our online contact form.