Seattle Bankruptcy Attorneys
Are you considering bankruptcy?
The Engel Law Group, P.S., assists individuals in the Greater Seattle area with the entire bankruptcy progress – from deciding if this is the right choice, to filing the paperwork and representing our clients in court. Our Seattle bankruptcy attorneys have provided legal assistance for hundreds of people who wanted to escape the burden and stress that debt creates. We can explain the alternatives to bankruptcy and shield you from collectors and creditors.
Bankruptcy allows individuals and businesses to discharge their debt in a variety of ways, with the end result being a financial clean slate. There are three primary methods of bankruptcy:
- Chapter 7 – Known as a “straight bankruptcy”, this method of bankruptcy allows individuals to walk away from virtually all debt. One must qualify for a chapter 7 bankruptcy either through qualification based on their income level or a means test. Essentially, a debtor trades their assets in exchange for a clean slate. Technically, the non-exempt assets a person possesses are liquidated to fund payment to their creditors. In exchange, the federal court grants the debtor a fresh start debt free. There are some exceptions to debt that may be discharged. Generally, most debtors keep all their property when going through a chapter 7 bankruptcy. Less than 1% of our clients have had to return property through a chapter 7 bankruptcy.
- Chapter 11 – Chapter 11 is utilized by businesses and corporations and those individuals with extremely high debt loads. Most consumers have heard of major corporations filing for bankruptcy via this method. For example, American Airlines filed a chapter 11 bankruptcy in 2012. In this form of bankruptcy, the creditors, court, and debtor work together to agree upon a pay out amount for the existing debt. The pay out amount is usually pennies on the dollar. Corporate bankruptcies via this method are highly complex. If you are considering a chapter 11 bankruptcy, we urge you to contact our office for more information.
- Chapter 13 - This form of bankruptcy is known as the “payment plan” method. This form of bankruptcy is designed for those that wish to keep a valuable asset or if one is unable to file under Chapter 7. Chapter 13 is an effective form of solving your debt problems when you are behind on your car or mortgage payments. Chapter 13 creates a creditor payment plan through the bankruptcy court. This plan allows the individual to pay off creditors in monthly installments through the Chapter 13 trustee, until the debts are fully satisfied. Usually, a debtor pays the full amount owning on secured debt and pennies on the dollar for unsecured debt. The timeline for a Chapter 13 bankruptcy ranges between three and five years.
What Should I Do?
If you’d like more information regarding how the experienced Seattle bankruptcy attorneys at the Engel Law Group, P.S., can help you through this tough time, or to see if bankruptcy is your best option, simply contact us for a case evaluation.
Additonal Seattle Bankruptcy Information
The Bankruptcy Process
Knowledge is the key to financial freedom. Our informative bankruptcy website provides valuable information for you to become familiar with the bankruptcy process, lessening your stress and fear. If you take the right approach, with the aid of an experienced bankruptcy attorney, you’ll discover that bankruptcy isn’t an end, it’s a new beginning.
Choosing to File Bankruptcy
Before you file, you must determine if bankruptcy is the answer. Our legal counsel provides you with a private in person consultation. Read more about choosing to file bankruptcy.
Benefits of Bankruptcy
Debt collection efforts are halted when you file for bankruptcy. This gives you a clear, calm mind so you can walk down the road to financial recovery stress free. Read more about the benefits of bankruptcy.
Bankruptcy’s Automatic Stay
Wage garnishment, repossession, foreclosure, collection lawsuits and contact from creditors stop once you file a bankruptcy petition. This is known as an automatic stay. Our law firm is experienced in collections and foreclosure defense through the bankruptcy process.
Bankruptcy Exemptions
Debtors who file Chapter 7 bankruptcy in Washington State do not need to lose their property. Exemptions protect specific property and assets – many debtors don’t lose anything. Find out more about bankruptcy exemptions.
Bankruptcy Mistakes to Avoid
What do you do, and not do, when you are filing for bankruptcy? Don’t make a mistake by guessing. Read more about common bankruptcy mistakes.
Alternatives to Bankruptcy
Bankruptcy may not be the answer to your debt relief struggles, there are other methods to consider including debt counseling, negotiation and settlement without resorting to bankruptcy. Read more about alternatives to bankruptcy.
Obstacles and Alternatives
The obstacles left after filing may seem overwhelming, but when they’re explained to you by experienced Seattle debt relief lawyers, you’ll discover hope for a brighter financial future. Discover more about obstacles and alternatives.
Bankruptcy & You
What does bankruptcy mean to you and your family? How does your life change once you file? Discover more about bankruptcy and you.
Bankruptcy Myths
The myths of bankruptcy can keep you from finding financial freedom. Get the real facts, explained by our expert attorneys. Read more about bankruptcy myths.
Bankruptcy Warning Signs
Mortgage defaults, credit card bills, wage garnishment and repossession – these are all indicators of bankruptcy. Don’t miss a crucial warning sign.
Bright Side of Bankruptcy
Yes, there is a bright side of bankruptcy. If you need breathing room from debtors, a bankruptcy petition may be the answer. This petition places a hold on all collection activity against you, putting a stop to harassing phone calls.
Life After Bankruptcy
Once the dust has settled and you’ve regained your life, what happens next? Yes, you can still buy a house after you file. Find out more about life after bankruptcy.
After Discharge
Once you’ve completed bankruptcy and the debt is discharged, you’re ready to move on. But how do you rebuild your credit? Click here to learn more about life after the bankruptcy discharge.
Bankruptcy & Divorce
Divorce is difficult enough without the added stress of financial problems. Unfortunately, these two legal processes often go hand in hand. Read more about bankruptcy and divorce in Seattle.
Lawsuits
A debtor who has fallen significantly behind on credit cards, personal loans or other bills may end up facing lawsuits from creditors who take this course of action as a means of collecting the money they are owed. Our Seattle collections defense attorneys provide more information about collection lawsuits.
Medical Bills
When you’re hurt or seriously injured, the cost of getting better can be astronomical. If you’re being overwhelmed by the demands of a medical facility, insurance company or collection agency, contact us.
Payday Loans
Payday loans provide immediate relief, but their effects can be felt long after they’ve been cashed. High interest rates for these loans are also why they’re dangerous. Find out more about payday loans.
Chapter 7
If you have a low income and increasing debt, Chapter 7 is the best option. Quick and straight forward, it provides relief and recovery. Read more about Chapter 7 Bankruptcy in Seattle.
Business Chapter 7
When a business files Chapter 7, this involves selling all assets to pay off creditors and therefore results in the business closing its doors.
Means Test
A means test evaluates a debtors’ income against the median income for the state to determine. This allows a debtor to file under Chapter 7. Find out more about the means test.
Chapter 11
While similar to Chapter 13, the rules of Chapter 11 provide you with more flexibility. Debt can be reorganized and the debtor may have up to six years to pay back taxes. More about Chapter 11 can be found here.
Chapter 13
Chapter 13 bankruptcy involves the reorganization and repayment of debt with an approved payment plan. This option is good for higher income individuals with property that needs protection from liquidation. Read more about Chapter 13.
Collections Defense
Find an ally to protect you from angry phone calls, nasty letters and collection lawsuits. Read more about collections defense.
Creditor Harassment
Threats, profanity and harassment are considered abusive practices by creditors, and debtors who have been subjected to this conduct may have legal recourse under the Fair Debt Collection Practices Act. Read more about creditor harassment.
Delinquent Accounts
The specific actions a creditor or bill collector may take when an account becomes delinquent will vary, but it is important to seek legal help if harassment, lawsuits or threats ensue. Read more about delinquent accounts.
Credit Card Debts
Credit card debt is one of the most common types of debt discharged through bankruptcy. Read more about credit card debt.
Mortgage Foreclosure
When a homeowner defaults on a mortgage loan, the lender may seek to take back the property and sell it in order to recoup some or all of the money the homeowner owed. Read more about mortgage foreclosure.
Stopping Foreclosures
There are various ways to stop foreclosure, and bankruptcy is one method. Once you file your petition, foreclosure proceedings must cease. Other options may include loan modification, short sale or a deed in lieu. Read more about foreclosure defense.
Repossessions
When a debtor defaults on a loan that is secured by collateral, the creditor may take legal action to repossess the property. There are ways to stop repossession, and a lawyer at our firm can discuss your options with you to save your property. Read more about repossession.
Wage Garnishment
An action that a creditor may take in order to recover debt they are owed is to secure a judgment to garnish a debtor’s wages. A creditor may take up to a maximum of 25% of a debtor’s wages, making an already difficult financial situation impossible to deal with. Read more about wage garnishment.
There is more to bankruptcy than you know, but our attorneys at Engel Law Group know the best way to offer you relief, protect your assets, and provide a path back to financial freedom. Contact our Seattle Bankruptcy Lawyers today to find out how.