Facing A Bad Financial Situation? Know How Filing For Bankruptcy Can Be A Life-Saver

If you are an individual or a business in Maryland and looking for ways to overcome your distressed financial situation, legal experts will tell you that filing for bankruptcy is a practical option. Many chapters are available, so choosing the right one is important. Begin by consulting one of the best bankruptcy lawyers in Maryland, USA. They will help you by answering all your queries and addressing your doubts about filing for bankruptcy.

 

Filing for bankruptcy in Maryland isn't different from filing in another state in most aspects. The bankruptcy process is covered under federal law, not Maryland state law. The core aspect of filing for bankruptcy is disconnecting the contracts between you and your creditors. You can make a fresh start instead of giving it all away. Consult the best bankruptcy lawyers in Maryland, USA, to understand the nuances of bankruptcy law and how it may affect your future.

 

It's important to note that Maryland's laws can significantly influence your bankruptcy case, particularly regarding the property you can retain. This highlights the need to engage the services of a reputable bankruptcy law firm in Largo, MD, USA. They can provide detailed insights into the local legal landscape and help you understand the implications of filing for bankruptcy in Maryland.

 

Chapter 7 Bankruptcy, Maryland

 

Most people choose to file for Chapter 7 bankruptcy in Maryland. The process is fast and does not tax applicants who are already financially weak. It usually only takes a few months to finish, and you don't have to pay anything to your creditors.

 

Chapter 7 is best if you mainly own things you need for daily life and work. But if you have extra stuff like an RV or a few fancy items, you might have to give them up. The Chapter 7 trustee sells these things and gives the money to your creditors. You could lose things like your house or car if they hold too much equity.

 

It's worth noting that Chapter 7 bankruptcy differs from Chapter 13 in several key ways. Unlike Chapter 13, Chapter 7 doesn't provide a mechanism to catch up on missed mortgage or car payments through a payment plan. If you have defaulted on your house or car payments when you file, you may risk losing them.

 

That’s why using the services of the top bankruptcy lawyers in Maryland, USA, is crucial. They will help you understand these distinctions and decide the most suitable bankruptcy chapter for your situation.

 

Chapter 13 Bankruptcy, Maryland

 

Filing for Chapter 13 bankruptcy in Maryland involves creating a plan to repay some or all of what you owe to creditors over three to five years. The good news is that you get to keep everything you own, and this plan is designed to help you deal with tough financial situations.

 

With Chapter 13, you can be back on track with missed mortgage payments and save your home from foreclosure or your car from being taken back by the lender. If you have a debt that can't be wiped out in bankruptcy, Chapter 13 lets you set up a payment plan with the creditor to repay what you owe over time.

 

However, there are some downsides, too. Chapter 13 is an expensive option, and the monthly payments might be too much for some people to handle. You can't file for Chapter 13 bankruptcy if you are a business owner. Consult an established bankruptcy law firm in Largo, MD, USA, to understand the options for small business bankruptcies.

 

The Law Office of Erica R.S. Hunt, LLC offers the services of one of the leading bankruptcy lawyers in Maryland, USA. The law firm is client-focused and result-driven and has helped many individuals overcome their financial challenges and start life afresh. The leading bankruptcy law firm in Largo, MD, USA, specializes in assisting individuals to achieve financial health and stability.