I Filed for Bankruptcy and Creditors Are Still Calling – What Do I Do?

Bankruptcy is meant to give people a clean slate and remove the stresses of debt—including frequent and harassing calls and letters from creditors. After filing for bankruptcy, this should stop. However, in some cases, creditors and debt collectors keep making contact. Why does this happen, and what can you do? Our law firm in Edmonds has the answers.

Typically, the reason why you continue hearing from collectors after filing for bankruptcy is that the court’s notice has not been fully processed yet. Even in today’s fast-paced world, legal processes can sometimes be slow like this. Once the creditors are informed about the filing, all contact from them should stop. In atypical cases, unscrupulous debt collectors may keep calling or mailing you after filing because they hope to squeeze payment out of you anyway.

Know Your Rights

Make sure you know your rights; it is illegal for creditors to continue collection attempts after you file for bankruptcy. If they persist, you can pursue legal action against them. Depending on the situation, they may be forced to pay your law firm fees and provide other monetary compensation to you.

Here is what you should do if a debt collector contacts you post-filing:

1. Inform Them That You Have Filed for Bankruptcy

2. Give Them Your Case Number and Filing Date

3. Record the Creditor’s Name, Date and Time of Contact, and Name or Employee Number of the Person with Whom You Spoke

Contact your law firm to learn more about further actions you can take if collection contact continues.

Learn about Bankruptcy Discharges from a Law Firm

When filing for Chapter 7 or Chapter 13 bankruptcy, many indebted individuals have a bankruptcy discharge in mind. What exactly is a bankruptcy discharge? Your law firm in Edmonds, WA, will have an answer, but you can also get a quick summary here.

The Goal of Chapter 7 and Chapter 13 Bankruptcy: Debt Discharge

A bankruptcy discharge is a court order that declares an individual’s debt has been cancelled. As a result, creditors cannot collect on debts or send correspondence requesting payment. The standard kinds of debts that are erased with a discharge include:

• Credit Card Debt
• Medical Bills
• Lawsuit Judgments
• Personal Loans
• Obligations under a Lease or Contract
• Unsecured Debts

The Drawbacks of a Bankruptcy Discharge

The cancelling of debt can be liberating. However, a bankruptcy discharge doesn’t magically erase all of a person’s debts. First of all, the debtor must prove to the courts that a discharge is necessary as part of declaring bankruptcy. Working with an attorney from a law firm can help a debtor build a case, but there is no guarantee of the desired result.

Another limitation of the bankruptcy discharge is that certain debts or financial obligations can never be erased and must be paid instead. The restrictions vary whether a debtor has filed for Chapter 7 or Chapter 13 bankruptcy. They might include:

• Child Support or Alimony
• Fines and Penalties Resulting from Criminal Activity
• Court Costs
• Debts That Weren’t Listed in the Bankruptcy Petition
• Certain Taxes, including Property and Business Taxes

A bankruptcy discharge can also adversely affect your credit score, which will affect your ability to apply for loans, mortgages, or credit cards. When filing for bankruptcy, it is crucial to consult with an attorney from a trusted law firm to formulate an effective debt relief strategy.

Why Bankruptcy Can Actually Be a Good Thing for Everett, WA, Residents

Going bankrupt can feel like a sign of failure, but the truth is that it’s really a sign of recovery as well as a much-needed chance to start over. Bankruptcy in Everett, WA, or elsewhere is a way out of debt or a bad financial situation. Often, it isn’t even the filer’s fault. People can be weighed down because of factors they couldn’t control, like injuries, illnesses, layoffs, and so on. The process doesn’t even necessarily have to hurt your credit report. After all, the results of this endeavor can vary greatly depending on your reasons for filing.

Arrange a free consultation with an attorney to learn more and find out whether bankruptcy legal services are right for you. There are different kinds that you can file for, and only a professional can tell you which one is the best option for your situation. An experienced attorney like Kimberly J. MacLeod, P.C. can help you take a means test to know if you qualify for bankruptcy. Anybody unsure what to do about their debts or financial situation can benefit from speaking with someone skilled in the related laws.

Knowing When to File for Bankruptcy

Watching your debt increase can be overwhelming—especially when you’re unsure how you’ll ever overcome it. For many people, declaring bankruptcy is an effective way to achieve a fresh start. However, bankruptcy is not the best option in all circumstances. Take a minute to read through this advice from Kimberly J. MacLeod, P.C., a respected bankruptcy attorney in Edmonds, WA

Talk to the Professionals

First, you need to talk to professionals that understand bankruptcy inside and out. Kimberly J. MacLeod has been focused on Chapter 7 and Chapter 13 bankruptcies since 2009, meaning she can tell you if bankruptcy will complement your financial and life goals.

Complete a Means Test

Next, it’s important to complete a means test to see if you qualify for bankruptcy. Just because you’re having difficulty paying bills doesn’t mean you automatically qualify. A quick rule of thumb is that you’ll have an easier time qualifying if your income falls below the state median income.

List Your Debts & Income

Another crucial step is to list all your debts and income in detail. If your monthly payments are less than 35% of your monthly income, you’ll likely have a difficult time persuading a judge that you’re a good candidate for bankruptcy.

Don’t hesitate to contact Kimberly J. MacLeod for more advice from an experienced bankruptcy attorney in Edmonds, WA.

What You Should Know About Chapter 7 Bankruptcy

If you are far behind on your bills and don’t have a way to afford monthly payments on top of your living expenses, you may need to on your finances. Chapter 7 bankruptcy in Edmonds, WA, allows you to clear away unsecured debts. Learn more about Chapter 7 and what you can expect throughout the process.

How Chapter 7 Bankruptcy Works

First, you will have to file for Chapter 7 bankruptcy. This is a process that tells the courts that you intend to declare bankruptcy. After going through the initial filing, the court places a temporary stay on your current debts. Creditors are prevented from collecting payments, garnishing your wages, foreclosing your home or evicting you, turning off utilities, and repossessing property. The court takes legal possession of your property and appoints a bankruptcy trustee to your case.

The bankruptcy trustee will then look over your finances and assets. At this time, they will sell your nonexempt property and use the proceeds to pay off as much of your outstanding debt as possible. The trustee will also arrange a creditor meeting, which means you will go to the courthouse to meet your creditors and answer questions about your filing.

Completing Chapter 7 bankruptcy can take between four and six months. At the end of the process, the court will discharge your remaining debts, meaning you won’t have to pay for them anymore. However, certain types of debt will remain, and that can include child support, alimony, court fees, tax debt, and most student loans.

Get Assistance from a Bankruptcy Lawyer

Going through Chapter 7 bankruptcy can be a long and intimidating process. If it is your first-time filing, you may be confronted with options and terms that may be unfamiliar to you, such as the differences between exempt and nonexempt property--and how they might affect you.

However, you don’t have to go through the process alone. Having an experienced bankruptcy lawyer at your side can help you in choosing the best possible path forward. Request a consultation with a lawyer to explore your options.

Welcome to the Kimberly J MacLeod, PC, Bankruptcy Lawyer Blog

Despite the daunting perception surrounding bankruptcy, it can be the answer to helping you regain control of your life. Suppose you’ve fallen behind on large payments for a long time and find yourself being harassed by bill collectors. In that case, getting the help of a bankruptcy lawyer in Edmond, WA, is an excellent way to navigate the legal and financial turmoil you want to avoid. Let them know what your unique case entails, and they’ll provide you with the best option.

Three Main Bankruptcy Options

Finding a professional is worthwhile because a bankruptcy lawyer will often offer options to pay them for their services that are respectful of your situation. Additionally, you’ll be able to get good advice on how you can recover financially. In most cases, there are three main types of bankruptcy you can file for:

Chapter 7: Your assets can be sold to cover some of the debt and pay creditors.

Chapter 13: You keep the assets but will need to repay your debts over the next three to five years.

Chapter 11: Used for businesses, this bankruptcy reorganizes business affairs, debts, and assets.

Law firms like ours have specialized help that will help you plan for the future. Please feel free to contact us today to learn more about our services.

Discover the Details of Chapter 13 Bankruptcy in Edmonds, WA

Chapter 13 Bankruptcy in Edmonds, WA, is a viable option that allows you to modify payments to lenders in a structured, court-supervised debt consolidation repayment plan. The total amount, length of time, and terms of the plan will be determined by considering the amount and types of debt you are responsible for. Other factors to consider will be determined by the types of property you own and your historical record of income and living expenses. All of these factors will be presented to the court by an appointed trustee who will, after court approval, disburse your payment to your creditors in compliance with your court-approved plan.

Restore Financial Health with Chapter 13 or 7 Bankruptcy in Edmonds, WA

Chapter 7 Bankruptcy is the most common type of debt relief procedure. It is designed to give people the opportunity to start with a clean slate by discharging the crushing debts they have accumulated. The types of debts that can be forgiven include medical bills, credit cards, and personal loans that the creditor may not have the means to repay. It does not, however, allow for the discharge of debt associated with child support, alimony, student loans, traffic or court fines, and past-due taxes. If you feel you need the relief in Edmonds, WA, that Chapter 13 or Chapter 7 Bankruptcy can provide, secure the services of a reliable attorney like Kimberly J. Mcleod, P.C., to explain both plans and get you back on the road to good financial health.

How Bankruptcy from Our Law Office in Edmonds Helps You Break Free

Financial difficulty can happen to anyone. Though it’s often stigmatized as a sign of poor money management, falling into debt is all too easy in an economy full of credit-based transactions and immediate financial needs. That’s why bankruptcy exists -- not as a punishment, but as a way forward.

At our law office in Edmonds, we help people navigate the complex process regularly. In our experience, it’s a crucial resource that can save families from ruin and end harassment from debtors. It does have wide-reaching implications, though, so it’s vital to know what you’re getting into before you commit to declaring bankruptcy.

When to File, and What Happens

The first thing to know is that filing for bankruptcy is a last resort. That’s not just advice -- it’s built into the process. Before you can declare it, you’ll have to show that you can’t reasonably repay your current debts.

From there, you have to decide which type of bankruptcy is right for you. For most people, that’s Chapter 7 bankruptcy, which involves allowing a federal court trustee to supervise the sale of any non-exempt assets. It can’t get you out of certain obligations, like out-ordered alimony and child support, taxes, and student loans.

Chapter 13 bankruptcy, on the other hand, lets you keep your property but involves creating a plan to partially or completely pay off your debt. If you need advice on which option works best for you, visit your local law office for a consultation.

File Bankruptcy with the Support of Attorneys Near Me in Edmonds, WA

The legal world can be complex--especially when money is involved. When you’re considering filing for bankruptcy, it’s crucial to have someone on your side who knows the ins and outs of the bankruptcy process. If you’ve been asking yourself, “Who are the best attorneys near me in Edmonds, WA?”--your search stops here. Depend on the professionals at Kimberly J. Macleod, P.C., to guide you through this important and potentially life-changing process.

Explaining Your Options

Many people wonder why they need a lawyer to file bankruptcy. Why not just do it yourself? The answer is simple: the bankruptcy process is full of many terms, processes, and procedures that can be tricky to wrap your mind around. In order to set yourself up for maximum success, it’s critical to understand every element of your bankruptcy case.

An experienced attorney will explain to you the significant difference between Chapter 7 and Chapter 13 bankruptcies, as well as the specifics regarding:

• Wage Garnishment
• Exempt Property
• Non-Exempt Property
• Credit Card Debt
• Student Debt
• Credit Scores
• And Much More

The Support You Need

If you’ve been wondering, “Should I go it alone or depend on attorneys near me in Edmonds, WA?”--the answer is simple: choose the support of experienced professionals that have your best interests at heart.

Learn About the Pros & Cons of Filing Bankruptcy from the Leading Law Firm in Edmonds, WA

The decision to file bankruptcy isn’t easy to make. No two people are the same, and therefore, no two people have the same financial situation. It’s crucial to take a good look at your personal circumstances and make the decision that works best for you, your loved ones, and your bank account. Fortunately, the team at Kimberly J. Macleod, P.C.--a leading law firm in Edmonds, WA--is ready to help you navigate through the bankruptcy process.

The Pros

Debt Elimination -- Debt can be a looming cloud that affects every aspect of your life. Chapter 7 bankruptcy can completely eliminate your existing debt and Chapter 13 bankruptcy will break down your debt into a more manageable payment plan.

Exempt Property -- In Washington, most of your personal property is exempt from bankruptcy, meaning you won’t have to sacrifice the standard of living that you’re used to.

Credit Card Debt -- For many people, credit cards are the root of their financial woes. Bankruptcy will remove credit card debt from your life, allowing you the fresh start you need to succeed.

The Cons

Loan Debt -- Unfortunately, bankruptcy is not designed to remove student loan debt, but it is a useful way to slow down the aggressive calls from collectors!

Nonexempt Property -- Not everything you own is safe from bankruptcy. Be prepared to potentially forfeit some luxury items that may not be deemed essential.

Credit Score -- It’s unavoidable that your credit score will take a hit. However, many of the people who need to file bankruptcy are already facing credit issues, so this is usually a price that many are willing to pay. In other words, the benefits outweigh the negatives.

Contact our law firm in Edmonds, WA, to learn if bankruptcy is right for you.