Colorado Bankruptcy Facts
Bankruptcy is the declaration of a debtor that they are unable to pay off their outstanding balance with creditors. Over the years, bankruptcy has become a popular method to reduce or possibly even wipe out debts altogether, especially in Colorado. Both individuals and businesses can file for bankruptcy, but because there are so many different kinds of chapters to choose from, retaining an experienced Colorado bankruptcy attorney is the best way to ensure the most favorable outcome for a case is reached.
What Factors Can Lead to Debt?
Debt can be amassed in several different ways. The economy just isn’t what it used to be, and may Colorado residents that previously no problem meeting their monthly mortgage payments, business expenses and other liabilities now have trouble making ends meet. Debt is the result of payments that have piled up to the point that the debtor has no foreseeable way of reducing it on their own. Sometimes debt results from a severe pay cut at work or job loss, while other times it is the result of medical costs to treat an illness or injury. There are also times in which debt is accrued over business-related expenses, missed tax payments or even lawsuits. But the important thing to remember is that all is not lost; you can get rid of your debt right now with the help of a top Colorado bankruptcy lawyer.
Choosing a Chapter to File
Although there are several bankruptcy petitions that can be filed in Colorado, Chapter 7 and Chapter 13 are the most popular. Chapter 7 involves the liquidation of assets in exchange for the discharge of unsecured debt, while Chapter 13 allows debtors to pay back what is owed to creditors on a payment plan. Both individuals and businesses can file for Chapter 7 but only consumers can file for Chapter 13.
Each chapter has both pros and cons, so it’s important to speak with an attorney in Colorado who understands the U.S. Bankruptcy Code very well to provide you with solid legal counsel and advice on which chapter you should file.
Below are a few facts regarding each chapter to help you gain a better understanding of each petition:
Why Choose Colorado Chapter 7 Bankruptcy?
- Most – if not all – debts are wiped away, giving you a “clean slate”
- There is no minimum amount of debt required to file
- Cases usually only last from 3 to 6 months – if not less
Why Choose Colorado Chapter 13 Bankruptcy?
- You don’t have to liquidate any assets
- Protects against foreclosure and vehicle repossession
- Easier to qualify for
Connect with an Experienced Bankruptcy Lawyer in Colorado Today
If you have been struggling with debt, chances are you want nothing more than to just get rid of it as quickly as possible. But finding the right attorney who will take your needs into consideration and provide you with trusted legal counsel isn’t always the easiest thing to come by. Luckily, you don’t have to go far to obtain reliable representation.
USAttorneys.com is your one-stop shop to find your ideal local Colorado bankruptcy lawyer who will handle every aspect of your case and stop at nothing to ensure it resolves swiftly and positively. No matter how much debt you owe or what brought you to search for debt relief, you can rest assured you will find nothing but the best, most experienced and most trustworthy lawyers on our site who will not allow your debts to pile up any longer.
If you are sick of creditors calling and harassing you, banks threatening to take your home and interest building at astronomical levels, search our site to get connected with the bankruptcy attorney in your area who will make sure you walk away from your case without any financial burdens holding you back.