APLG Can File Your Bankruptcy
We tend to think of bankruptcy as the last line of defense against growing and unaffordable debts. It is not always the best option, since the filing of bankruptcy involves significant costs to our clients and a successful discharge of debts may impair their credit worthiness for up to 10 years. Other options short of bankruptcy include negotiating debt settlements with creditors, defending against collection lawsuits on unsecured loans and/or taking advantage of loan modification programs to get more favorable repayment terms on secured loans. These options may end up saving our clients a good deal of time, effort and money.
With that said, we recognize that filing bankruptcy often turns out to be the best option for our clients. Filing a petition in bankruptcy creates what’s known as the “automatic stay”, which will stop almost all collection and repossession processes (including foreclosure) and give clients the time they need to pay off and discharge their debts in an organized manner. Clients with few assets and large amounts of unsecured debts (i.e. credit cards, medical bills, etc.) may benefit tremendously from a debt liquidation under a Chapter 7 bankruptcy, while clients with significant assets and secured debts (i.e. mortgages, car loans, etc.) may benefit from the structured payments of a Chapter 13 plan.