Bankruptcy Law Firm Fresno Ca

By Author: khernandez
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A bankruptcy filer is a person who is facing financial crisis; it can be credit card debts which get bigger because of an injury, uninsured medical expenses and loss of job; as a result, he incurs various monetary penalties piling up his debt. The U.S. constitution allows bankruptcy under article1, section8 and Clause 4. You can file your bankruptcy in the USA Bankruptcy courts through a Fresno ca bankruptcy lawyer; the USA federal law governs the legal procedure; while ascertaining property rights, state laws are also applied.

The US Bankruptcy law firm bay area really assists those debtors who need help to start afresh, and want to avoid spending the rest of their life under the unbearable burden of debts. If you have unclear debts, you may not necessarily require bankruptcy law to protect your assets because there are several rules called “Asset Protection” which are a mixture of laws that give you freedom to retain certain property even if you are in the red. Every state has designed its own laws to specify property you can keep to live a secure and protective ...
... life; that’s why you cannot be forced to sell off your bungalow in Texas and Florida, even if your debt amount is bigger than a billion dollar of debt.

In the US law, Chapter 7 and 13 are two types of bankruptcies; Chapter 7 finishes unsecured debts in a few months for all your non exempt properties; people, who generally go for chapter 7 bankruptcy law firm Fresno, do have non-exempt property; at the time of filing up cases, the debtors have their property either protected by exemption laws or pledged as a collateral security for a debt or secured creditor.

In case of chapter 13 bankruptcies, you do not have to give up your property; you live within a limited amount of money and repay a part of your debts; your monthly budget is strictly monitored by the bankruptcy court trustee; if the fixed monthly payments are not cleared, the chapter 13 bankruptcy fails and the debt amount remains the same unless it is converted to chapter 7 bankruptcy. Chapter 13 Bay area bankruptcy lawyer are mainly for those who have secured debts like mortgages and want to catch up their unpaid debts over a period of time.

A mathematical formula, which is known as “means test” under the new bankruptcy law that took place in October 2005, determines whether you qualify for chapter 7 or chapter 13 bankruptcies. Under the formula, your monthly income, nature of debt and amount and other financial factors are considered. Depending upon the outcome of the formula, you can file for either Chapter 7 or 13 bankruptcies and can seek help from a Law firm Fresno ca to protect your property and restart a new life full of financial freedom.