When a person gets sick in the United States there is no safety net to protect them. Often they lose their job, after they use up their leave. This means that they also lose their heath insurance. After several months, the person has used up their savings and is deeply in debt. Luckily they recover from their illness, but they are unable to recover from their financial downfall. They can’t possibly pay all of the monthly bills and they fall further behind each month. Bankruptcy St. Charles MO is their only alternative. The sooner they speak with a lawyer to help them, the more of their assets he can protect.
The person will have to add up all of their secured and unsecured debt. He will also have to list all of his income sources for the last six months. His income will determine which Bankruptcy St. Charles MO methods he is allowed to use. Debtors who have made less than the Illinois median income for the past six months are entitled to use Chapter 7 of the federal bankruptcy law. After the lawyer has filed a bankruptcy petition, the judge appoints a trustee. The trustee will sell off all of the debtor’s assets. He will then divide the profits among the creditors. This entire process takes about three months. The debts that aren’t covered by the profits will be discharged. The debtor is then free to start their life over.
The lawyer overseeing the Bankruptcy St. Charles MO will ensure that the trustee only sells the correct assets. Federal and state law protects certain assets. Often the law allows the person to keep their house, car and tools that they need to make a living. He will also ensure that the debtor realizes that all debts aren’t included in the bankruptcy process. Student loans, IRS payments, alimony and child support will not be forgiven. The lawyer will attempt to work with all of these creditors to ensure that the debtor starts their new financial life on firm ground. People drowning in debt can contact Van Dillen & Flood P.C. St. Charles, MO They are one of the law firms that represent people in the bankruptcy process. Browse website for more information.
