Understanding the Basics of Filing Bankruptcy in Wadsworth, OH

Posted byPaola Nadeau on Oct 2020 in Business | 0 comments

If you are concerned about your overwhelming debt and have thought about looking into filing for bankruptcy, chances are you have many unanswered questions. Bankruptcy used to have a bad rap and was something everyone was embarrassed to admit they had to endure, which might make you hesitant to look into it. Today, it is more commonplace for people of all financial statuses to go through bankruptcy. Understanding the basics of filing bankruptcy in Wadsworth, OH, will allow you to make an informed decision for your family.

Types of Bankruptcy

There are two types of bankruptcy you can file: Chapter 7 and Chapter 13. Chapter 7 bankruptcy is a liquidation of your debts. This form basically wipes all your debt away and does not require you to create a repayment plan to pay your debtors. In Chapter 7, you can typically keep your property as long as you can show you can afford the payments. Chapter 13 bankruptcy is reorganization of your debts. This form of bankruptcy in Wadsworth, OH, requires you to pay a certain amount of your debts to your trustee every month. The trustee is then responsible for paying your creditors.

Do You Need an Attorney?

While it is possible to file for bankruptcy on your own, it is not recommended. There are a large number of factors that play a role in each case, making it necessary to use the expertise of a bankruptcy lawyer rather than trying to handle the case on your own. You run the risk of losing your car, home or other assets if you file incorrectly.

Do You Have to Go to Court?

Typically, only one court appearance is required. This appearance is called a meeting of creditors. This is the only opportunity creditors have to face you regarding your debt and ask any applicable questions regarding your case. Your attorney attends the meeting with you and handles all correspondence.

If you are considering filing bankruptcy in Wadsworth, OH, you will be the most successful by hiring a reputable bankruptcy attorney. Your attorney understands all the basics of filing, as well as the small details that will affect your case. Your first major decision will be whether to file for Chapter 7 or Chapter 13 bankruptcy. Once you decide the type, you will be able to do as your attorney says and start the process in a short amount of time.

For more information regarding filing for bankruptcy in Wadsworth OH, visit the website of Vance P. Truman, Attorney at Law or call Phone No.