Are you being hounded by creditors and collection agencies? Are you facing garnishment of your wages, repossession of your car or foreclosure of your home? Turn to an experienced bankruptcy attorney in Omaha for help. Ron Hunter can show you the way to a better financial future. Learn how he can help you today.
Chapter 7 Bankruptcy
Under Chapter 7 most of your unsecured debts, such as credit cards and medical bills, are discharged (wiped out). Examples of unsecured debts which are not discharged are recent income taxes, child support and student loans. Secured debts such as car loans must be reaffirmed if you wish to keep the collateral. In Chapter 7 you are allowed to keep a limited amount of property and your attorney must closely scrutinize all of your property to advise you what, if any, property you may lose.
Chapter 13 Bankruptcy
Under Chapter 13 you generally will not lose property. A payment plan will be established which will pay your attorney fees, your car loans, arrearages on your house loan and income taxes. The monthly payment will be based on your ability to pay. This means that in the majority of Chapter 13 cases the debtor will discharge most of their unsecured debts.
Foreclosure happens when you fall behind on your house loan payments and your lender moves to sell your home to pay off their loan balance. You can stop a foreclosure and save your house by filing a Chapter 13 bankruptcy before the sale is held. In Nebraska the sale is usually referred to as a “Trustee’s Sale.” As soon as you receive a “Notice of Default” or “Notice of Trustee’s Sale” you should immediately contact your attorney to ensure that your Chapter 13 bankruptcy is filed before the Trustee’s Sale is held.
Wage garnishment is the process in which a creditor obtains a court order requiring that your employer withhold a specified percentage of your paycheck to be applied to the debt. In Nebraska the percentage garnished is 25% if you are not the head of a household or 15% if you are the head of a household. The court order can also be directed at your bank account where there is no percentage limit on the amount that can be taken. A bankruptcy filing will immediately stop a garnishment.
When you fall behind on car loan payments the lender has the right to repossess your car and sell it at an auto auction. The lender will pursue you for payment of the balance due. A Chapter 13 filing will stop the lender from taking your car and the Chapter 13 plan will bring the payments current with new payments over a period of 60 months.
If you owe federal or state income taxes you can have tax liens filed against your property, garnishment of your wages and the loss of your tax refund. Your bankruptcy attorney will closely scrutinize your tax debt to determine your best course of action in Chapter 7 or Chapter 13 bankruptcy.
Your Financial Future
Stopping creditors is just start. Ron Hunter can help to stabilize your finances, plan a future budget and rebuild your future credit.
Call Ron Hunter at 402-397-6965 to schedule a free consultation.