Getting Help From A Tampa Bankruptcy Lawyer With Reaffirming A Debt
If you are overwhelmed with debt and failing to keep up with your monthly financial obligations Chapter 7 bankruptcy may provide some relief. Chapter 7 is designed to give a debtor a fresh start by discharging the debtor's debt obligations. However, Chapter 7 bankruptcy can have many adverse effects, which debtors should be made aware of. For instance, under Chapter 7 bankruptcy law, debtors will be obligated to liquidate their nonexempt assets in order to satisfy their creditor's claims. Anyone considering filing for Chapter 7 should always consult a Tampa bankruptcy lawyer before taking any legal action. A Tampa bankruptcy attorney can describe the benefits and possible consequences that may arise with filing for Chapter 7 bankruptcy.
One of the most significant benefits to a Chapter 7 bankruptcy is the discharge. The discharge releases the debtor from liability of the debts included in the bankruptcy. In addition, the discharge will prevent the creditors from taking any further collection action against the debtor. However, occasionally a creditor will retain rights to seize the debtor's property underlying the debt, even after the discharge has been granted. For instance, if the debtor reaffirms his debt owed to the creditor, the creditor may retain rights to the underlying property.
In order for the reaffirmation of debt to be effective it must be filed with the court prior to the discharge. The motion to reaffirm the debt will typically be submitted to the court by the Tampa bankruptcy lawyer on behalf of the debtor. A reaffirmation of debt is an agreement between the debtor and creditor, which holds the debtor liable for the debt. Often, a debtor will request to reaffirm a debt if he wants to maintain possession of the property, which is collateral for the debt. If the debtor reaffirms the debt and makes no future defaults on the loan, the creditor will be unable to repossess the property.
A Tampa bankruptcy attorney should always advise his client of the possible risks and alternatives to reaffirmation before taking any legal action. If the debtor does not have the adequate resources to pay the debt, the creditor may be able to seize the property. A debtor should always carefully review his financial situation before reaffirming a debt.
Filing for Chapter 7 protection can be a confusing and intimidating process; however, a Tampabankruptcy lawyer can help. A Tampa bankruptcy attorney can advise a debtor on the applicable bankruptcy laws and help develop a legal strategy to achieve the debtor's goals.
One of the most significant benefits to a Chapter 7 bankruptcy is the discharge. The discharge releases the debtor from liability of the debts included in the bankruptcy. In addition, the discharge will prevent the creditors from taking any further collection action against the debtor. However, occasionally a creditor will retain rights to seize the debtor's property underlying the debt, even after the discharge has been granted. For instance, if the debtor reaffirms his debt owed to the creditor, the creditor may retain rights to the underlying property.
In order for the reaffirmation of debt to be effective it must be filed with the court prior to the discharge. The motion to reaffirm the debt will typically be submitted to the court by the Tampa bankruptcy lawyer on behalf of the debtor. A reaffirmation of debt is an agreement between the debtor and creditor, which holds the debtor liable for the debt. Often, a debtor will request to reaffirm a debt if he wants to maintain possession of the property, which is collateral for the debt. If the debtor reaffirms the debt and makes no future defaults on the loan, the creditor will be unable to repossess the property.
A Tampa bankruptcy attorney should always advise his client of the possible risks and alternatives to reaffirmation before taking any legal action. If the debtor does not have the adequate resources to pay the debt, the creditor may be able to seize the property. A debtor should always carefully review his financial situation before reaffirming a debt.
Filing for Chapter 7 protection can be a confusing and intimidating process; however, a Tampabankruptcy lawyer can help. A Tampa bankruptcy attorney can advise a debtor on the applicable bankruptcy laws and help develop a legal strategy to achieve the debtor's goals.
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