201904.15

Respected Albuquerque Bankruptcy Attorney Defends Your Rights

in Bankruptcy

I am a trusted and knowledgeable Albuquerque bankruptcy attorney. I represent the good people in Bernalillo County in bankruptcy issues.

You’ve worked hard to keep finances under control. Paychecks are good, bills are respectable, and life couldn’t be better. One day, you’re injured while off work, rendering you unable to return for several months. Credit card bills pile up. Mortgage goes into arrears. Personal loans are seriously late, and now you’re getting calls fifteen times a day.

It’s a nightmare, but luckily, the U.S. bankruptcy laws allow people with no means to pay debt to file for bankruptcy.

For many years, I have provided outstanding legal service from my firm, The Law Office of William J. Morgan. Over the years, I have represented many people in a wide variety of bankruptcy matters. I am a proud citizen of Albuquerque. I am honored to offer my legal services and community outreach locally. This allows me to focus my attention.

Whether you are facing wage garnishment, bank levies, or any other bankruptcy related matter, I can help. You can count on me to deliver exceptional litigation services when you need them most. For immediate help, call my law firm at (505) 710-4992.

Benefits of Filing for Bankruptcy in Albuquerque

Here are some reasons people in Albuquerque are filing bankruptcy:

Helps escape credit card nightmares. Credit cards are useful for many reasons. Mainly because it’s a payment method when paydays are days away. However, since most banks are generous with credit limits. People get carried away and pay months’ worth of bills on their credit cards. This will rack up debt . In fact, the current amount of your credit card debts will likely more than double once you default. Plus, they start adding on late fees and interest every month. Bankruptcy offers debt relief and ends this nightmare.

You can affirm debt you can afford. Many debtors who file bankruptcy often want all debts erased. Yet, certain situations make signing a reaffirmation agreement a good idea. With bankruptcy, you’re allowed to reaffirm debts you still intend to pay. This includes things like your vehicle (essential for work) and home (essential for living). I will guide you through the Means Test. This test determines whether reaffirming debt is prudential.

May prevent lawsuits. Have you racked up credit card debt, and are getting ready to go into collections? If the amounts are high, most likely, they will begin suing you in the next few months. Don’t underestimate the stress a lawsuit or lawsuits can put on your life, even if you are judgment proof. If you have no assets to protect, and you aren’t up for a fight for the next few years, bankruptcy might be the best option.

Stops creditor harassment. When the original credit can’t collect on them, that debt gets sold for pennies on the dollar. You’ll receive calls at home, work, and at your parent’s house. You will get threatened with jail and even have attorneys try to collect your debt. It’s a huge headache. Once you file a bankruptcy petition, an automatic stay goes into effect. This means all calls, collection activity, even letters to your home will stop. This is incentive enough for most to file.

You get a second chance. Indeed, bankruptcy wipes the slate clean for persons in your situation. Judgments are no longer collectable. Creditors must leave you alone. Finances start growing again. Eventually, you feel like you did before the nightmare started.

We File Chapter 7 and Chapter 13 Bankruptcy

Expect nothing less than highly responsive legal advocacy in areas of law that matter most to you. This is especially true when it comes to Chapter 7 and Chapter 13 bankruptcy in Albuquerque. Here is more information on these common filing chapters.

Chapter 13

Commonly known as “debt restructuring,” Chapter 13 offers debtors the opportunity to bundle debts into one payment. By doing so, you’ll settle debts for slightly less than owed in some cases. This may stop foreclosure, repossession, and sparing your income from wage garnishment. Keeping your credit relatively “drama-free” make this chapter particularly attractive to debtors.

You’ll need a repayment plan approved by the U.S. Bankruptcy court. After making timely payments during your 3-5 year payment plan, all remaining debts will be discharged. One fact you should be aware of is that your repayment plan must offer creditors as much as they’d received had you filed Chapter 7 instead.

Your attorney will explain the New Mexico Chapter 13 trustee expense guidelines and the Means Test. This determines the amount you’ll pay, and will walk you through how to file Chapter 13 in New Mexico.

Chapter 7

Under Chapter 7, debtors essentially wipe their slates clean. Unless the debt is related to family or criminal law, is usually dischargeable.

The same Means Test determines eligibility. Also, you’ll need to submit proof of income to make sure nothing can be used toward creditor repayment. You’ll have to attend the 341 Meeting which allows creditors to contest to your filing. Once completed, discharge of your debts is usually ordered 60 days after that meeting, or 90 days from filing date. Certain exceptions may apply.

When filed, an automatic stay goes into effect. This prevents debt collection calls, stops garnishments, prevents judgment collections. It also prevents credit bureaus from reporting debts as anything else but “included in bankruptcy”.

Which is for Me? Albuquerque Bankruptcy Lawyer Offers Advice

When determining which chapter fits your situation, ask yourself:

Can I take on 36-60 monthly payments to pay down creditors?
Would letting things go back be cheaper than reaffirming them?
Are you expecting to make a home or similar purchase within a few years?

Bankruptcies, while they remain on your credit file for seven years and six months, begin to diminish in effect after 2-3 years. Mortgage companies usually want three years out of bankruptcy; auto lenders want the bankruptcy discharged.

Chapter 13 bankruptcy leaves credit no more or less “blemished” than Chapter 7. Both are eligible for discharge at some point, and appear on credit reports as such. One should never base their filing choice off their credit report, however, as the effects of either will fade over time.

Also, remember that some repayment plans may not fit all budgets.

Contact a Bankruptcy Lawyer Today

If you are thinking about bankruptcy in Albuquerque, do not delay in taking care of the issue. Let my trustworthy reputation of consistent representation assist you in bankruptcy filing so you can free yourself from the stress these issues are causing you. I protect the rights of clients in this community with the level of integrity and thoroughness your problem deserves.

Contact me online or call my office today, or visit my Albuquerque office to schedule your free initial consultation.