Michigan Bankruptcy Attorney
If you are struggling with debt, Legacy Legal & Business Services PLC can help. Legacy Legal & Business Services offers free consultations, so that we can examine all of your options and customize a solution that is right for you whether that solutions is one of the bankruptcy options or debt settlement.
Struggling With Debt? Legacy Legal & Business Services PLC Is Here To Help
Dealing with financial issues of any kind is incredibly stressful and unnerving. With all that can be at stake, finding a solution to these difficulties can feel overwhelming and even impossible. Although the financial world is complicated, it is important to know that you have options – it’s just a matter of knowing what they are and how to proceed with a successful plan of action.
With the help and support of an experienced bankruptcy lawyer, you will be able to make educated decisions about the future of your financial situation. Having legal representation on your side will make certain that you are making choices that will benefit your state of affairs in a sustainable manner. This knowledge will provide you with the ability to move forward with your financial circumstances with confidence and understanding.
At Legacy Legal & Business Services PLC, we will do whatever it takes to give you the best legal advice available. With an extensive background in the legal field, Attorney Margaret Webb has the skills and experience necessary to make her clients feel comfortable and cared for. Given that client relationships are the cornerstone of Legacy Legal & Business Services PLC’s legal approach, you can be sure that your financial wellbeing is being taken care of with the utmost professionalism and competence.
Wondering What A Michigan Bankruptcy Attorney Can Do For You?
A bankruptcy lawyer has the ability to lay out all of the available options before you. Once a plan of action is established, your legal representation will be able to assist you in implementing the financial strategies necessary to move forward with your goals. This involves completing and filing the required documents, negotiating with creditors, and setting up a financial objective for the future.
Bankruptcy Options To Consider
There are various ways to approach bankruptcy. Knowing which one works best for you can be difficult. Our team will meticulously go over each and every aspect of your financial situation so that we can determine the bankruptcy option that best suits your needs.
Chapter 7 Bankruptcy
A Chapter 7 bankruptcy is typically called the “Fresh Start” bankruptcy. This is because there are no payment plans required, as long as individuals can meet the income restrictions placed by the Bankruptcy Code.
In a Chapter 7 bankruptcy, an individual’s non-exempt assets are distributed among creditors and the unsecured debts are discharged. It is worth noting that many people who file a chapter 7 bankruptcy do not lose any assets because, under the Bankruptcy Code, our team will be able to exempt many important assets from creditors.
Chapter 11 Bankruptcy
A Chapter 11 bankruptcy usually involves a partnership or corporation. This approach proposes a plan or “reorganization” so that the debtor can keep their business alive while also paying back creditors over time. Seeking financial relief with a chapter 11 bankruptcy is best done with a small business bankruptcy attorney or a similar legal professional.
Chapter 13 Bankruptcy
A Chapter 13 bankruptcy is typically referred to as the “payment plan” bankruptcy. This option works well for clients with regular income who can afford a manageable payment plan.
Chapter 13 bankruptcy involves a manageable payment schedule based on the individual’s ability to pay and runs approximately 3-5 years long. After the appropriate time period has run with consistent payments, a portion of the individual’s debt will be forgiven.
Debt Settlement
Debt settlement can also be an option for individuals who are struggling with debt. Legacy Legal & Business Services PLC will work with you, and negotiate with your creditors, to allow you some financial reprieve in your life. Having your debt settled for an amount less than you currently owe can dramatically reduce the financial burden that comes with these situations. Having legal counsel in your corner as you negotiate the terms of your debt settlement will greatly increase the likelihood that you will come away from these matters with clarity and ease.
Understanding the Means Test for Chapter 7 Bankruptcy
Filing for Chapter 7 bankruptcy can provide a fresh start for individuals struggling with overwhelming debt. However, not everyone qualifies for Chapter 7. The means test is a crucial component in determining eligibility. At Legacy Legal Business, we are committed to helping you understand the means test and navigate the complexities of bankruptcy law.
What is the Chapter 7 Means Test?
The means test was established to prevent abuse of the bankruptcy system by ensuring that only individuals who truly cannot repay their debts qualify for Chapter 7 bankruptcy. The test compares your income to the median income of a similar household in your state. If your income is below the median, you automatically qualify for Chapter 7. If it is above the median, further calculations are required to determine your disposable income.
Step-by-Step Breakdown of the Means Test
- Median Income Comparison:
- The first step is comparing your current monthly income to the median income for a household of your size in your state. You can find the latest median income figures on the U.S. Trustee Program’s website.
- Calculating Disposable Income:
- If your income exceeds the median, you move on to the second part of the means test, which involves calculating your disposable income. This is done by subtracting allowed expenses from your monthly income. Allowed expenses include things like housing, utilities, food, and transportation.
- Determining Eligibility:
- After calculating your disposable income, if the amount left over is below a certain threshold, you may still qualify for Chapter 7 bankruptcy. If it’s above the threshold, you might have to consider filing for Chapter 13 bankruptcy instead.
Why the Means Test Matters
Understanding the means test is essential because it directly impacts your eligibility for Chapter 7 bankruptcy. Failing the means test doesn’t mean you’re out of options; you may still qualify for Chapter 13 bankruptcy, which involves a repayment plan.
At Legacy Legal Business, our experienced bankruptcy attorney can help you navigate the means test and determine the best course of action for your financial situation. We understand that every case is unique, and we are here to provide personalized guidance and support.
Common Questions About the Means Test
What happens if I fail the means test?
If you don’t pass the means test, you might still have options. Our Attorney Margaret L Webb can help you explore alternative bankruptcy options, such as Chapter 13, or other debt relief solutions.
Can I retake the means test?
The means test considers your income over the past six months, so your eligibility might change if your financial situation changes. Contact us for a free consultation to discuss your specific circumstances.
Are there exceptions to the means test?
Certain individuals, such as disabled veterans or those with primarily business debts, may be exempt from the means test. Our team can help you determine if you qualify for any exemptions.
Get Professional Help from Our Bankruptcy Lawyer in Michigan
Navigating the means test and the bankruptcy process can be daunting without professional help. At Legacy Legal Business, we specialize in providing compassionate and knowledgeable assistance to those seeking debt relief. Contact us today for a free consultation and take the first step towards financial freedom.
By understanding the means test, you can make informed decisions about your financial future. Let Legacy Legal Business guide you through this challenging time with expertise and care. You can contact us on our website or call us at (616) 681-0100 to schedule your free consultation.
Debt Settlement can also be an option for individuals who are struggling with debt. Legacy Legal & Business Services PLC will work with you, and negotiate with your creditors, to allow you some financial reprieve in your life.