Facts To Consider Before Hiring A Chapter 7 Bankruptcy Attorney in Wetumpka, AL

The decision to file for Chapter 7 bankruptcy is a very serious one that has long-term consequences. It is not a decision to be made lightly and should always be done with consultation from a Chapter 7 Bankruptcy Attorney in Wetumpka AL. Here are some facts to consider and know before filing.

Means Test Or Eligibility

Before even attempting to file for bankruptcy, the filer must know if they are eligible. The filer must make either less than the median income for the state in which they live or pass the means test. The means test takes into consideration all reasonable living expenses to compute disposable income. The higher the amount of disposable income the filer makes, the less likely they are to be able to file for bankruptcy.

Automatic Stay Protection

As soon as all of the paperwork is filed in bankruptcy court, an automatic stay is put into effect. This stay offers complete protection from creditors while the case is ongoing. It is very important to have help from a Chapter 7 Bankruptcy Attorney in Wetumpka AL when filing the paperwork so nothing is forgotten or misstated, as this can have severe consequences on the outcome of the judgment.

Appearance In Court

In most bankruptcy cases, the only time the filer will need to make an appearance in court is during the meeting of the creditors. The creditors will be allowed to ask questions of the filer. Also, the bankruptcy trustee will ask the filer questions about their income and paperwork to make sure everything meets the standards to be declared bankrupt. If approved, the bankruptcy will officially go into effect about 60 days from the date of the ruling.

Creditors Still Owed

While debts such as credit cards or personal loans can be wiped out by bankruptcy, not all debts can be. Student loan debt and child support are two of the biggest debts people find they cannot erase by filing for bankruptcy.

To discuss options and schedule a consultation with experienced bankruptcy lawyers, contact a reputable firm such as Courtney & Mann LLP. They can answer any questions one may have when weighing their options.