Maryland Bankruptcy Lawyer

If you are struggling to make your minimum credit card payments and are tired of receiving countless phone calls from collectors and creditors, you may need to consider filing for bankruptcy protection. Although people often fear that filing for bankruptcy will cripple their financial future, that is not always the case. Instead, filing for personal bankruptcy could allow you to leave your debts behind and financially start over.

By working with a qualified Maryland bankruptcy lawyer today you could pursue the debt relief protection offered under federal bankruptcy laws.

Why Should Someone File for Bankruptcy in Maryland?

Filing for personal protection under federal bankruptcy laws creates an automatic stay that offers several different forms of immediate relief to a person, including:

  • A stay preventing creditors from filing a lawsuit
  • Preventing a lien being placed against a person’s property
  • Stop creditors from garnishing a person’s wages
  • Prevent foreclosure on a person’s home, even if the creditor has already started the foreclosure process
  • Immediately stop harassment from creditors over the phone and via letters or email

Is it Better to Liquidate or Consolidate Debt?

Federal bankruptcy laws offer multiple methods of filing for bankruptcy protection. An experienced bankruptcy lawyer will review the different avenues of protection and advise a person on how to best proceed. Some forms of bankruptcy protection liquidate or eliminate a person’s debts, while other types of bankruptcy protection consolidate them. Choosing the right direction to take a case could drastically impact the outcome.

Liquidation of Debts Under Chapter 7

If a person is facing insurmountable debts, the best option may be to file for bankruptcy under Chapter 7. A Chapter 7 bankruptcy discharge eliminates most forms of debt. This type of filing eliminates debt from medical bills, credit cards, old taxes, and other debts. Chapter 7 provides people with a chance to escape from much of their outstanding debts and get a chance to build a promising new financial future. However, it is important to note that a Chapter 7 bankruptcy discharge will not wipe out all forms of debt. A qualified Maryland bankruptcy attorney can fully explain what is, and is not, covered to a debtor.

Consolidation of Debts Under Chapter 13 and Chapter 11

In a Chapter 13 bankruptcy filing, a person may set up a plan that consolidates most of their debts into one repayment plan managed by a court-appointed trustee. One of the benefits to Chapter 13 filings is that they allow people additional time, usually 3 to 5 years, to catch up on overdue payments after demonstrating that they have the means to pay off such a debt.

Chapter 11 bankruptcy filings also involve restructuring and reorganization of a person or company’s finances. They usually involve businesses or  individuals with a large amount of debt. Chapter 11 filings are not subject to the same time periods, and often involve higher debts than other forms of bankruptcy.

Speak with a Local Attorney Today for Debt Relief

Filing for bankruptcy is not an easy decision, but sometimes it is the best decision. A bankruptcy discharge can give you the financial freedom to start again. You can rely on the helpful advice of a skilled Maryland bankruptcy lawyer to guide you through every step of the process. Call an attorney to talk about your options.