Northstar Legal Group Bankruptcy Law

Debt has a bad habit of growing. Even if you’re making every effort to deal with your finances responsibility, the interest, fees and surcharges just add to the debt until it snowballs out of control. If you’ve got debt collectors calling and can no longer deal with your growing debt, you might feel like you’re out of options. Northstar Legal Group can help you find the best way forward.

What Is Bankruptcy?

Bankruptcy is a legal process that allows you to receive formal debt relief through the courts. When you file for bankruptcy, you may have two options: chapter 13 and chapter 7. With a chapter 13 bankruptcy, you’ll have the opportunity to restructure your debts so that you can pay them off over time. With chapter 7 bankruptcy, your assets will be liquified and used to pay your debts. Any remaining debts will be discharged at the conclusion of your bankruptcy case.

Filing for Bankruptcy

Bankruptcy protection can be especially helpful for people who are at risk of losing their homes or who have unpaid debts that they can no longer pay. It can also help small businesses or individuals who have suffered medical emergencies, divorce or other major life changes that have contributed to financial instability.

While many people believe that bankruptcy can cost you your home and other personal belongings, the truth is that both state and federal exemptions exist to protect some of your property and ensure that you can enjoy a fresh financial start without the debt burdens of the past.

Once your debts have been discharged, you can begin rebuilding your credit right away.

Which Debts Can Be Discharged?

Many consumer debts can be discharged in bankruptcy, including:

  • Credit card debts
  • Personal loans
  • Promissory notes
  • Medical debts
  • Lawsuit judgments

Some debts cannot be discharged through bankruptcy, including:

  • Tax debts
  • Child or spousal support
  • Some types of legal fees and penalties

Other debts may or may not be discharged, including court fees, student loans, HOA fees and debts that weren’t discharged by a previous bankruptcy petition.

Northstar Legal Group

Filing for bankruptcy can help you build a stronger financial future for yourself and your family. Northstar Legal Group can help. We can work you to determine the best petition for your needs, help you complete the petition and present your case. Call our offices today to schedule your free case evaluation.