Tag: Debt attorney

Secured vs. Unsecured Debts

There are different types of financing methods, but basically, there are two types of loans that a consumer can take. One is the secured debt, and the second is the unsecured debts. It is vital to understand the difference between the two while borrowing the money and to plan the repayment. So here in this article, you will get to know what these two are and also about the benefits of hiring debt settlement attorneys.

Secured debts 
Secured debts are those in which the borrowers keep their assets as security. While placing your assets as security, you give the rights to the lender to seize your assets, when failed to repay the debt amount. Further, the assets can be sealed and sold by auction process to generate the amount of money that you owe to the lender. And, by chance, if the asset is not sold at the debt amount i.e. sold at a lower price, then the balance is levied on the borrower. A debt settlement attorney can be of great help to let you know all the formalities and rules governing the same.

Unsecured debts
In unsecured debts, you do not have to keep your assets as security, and lenders do not have a right to ask for any collateral. Even if you fail to make the debt repayments, they cannot put a claim on your assets and property. Though there are other actions that they can take to get their money back, they cannot come and simply seize your property. They may hire people to pressurize you to pay your debts or may take you to court for your inability to pay the debts by seeking assistance from a foreclosure attorney in Los Angeles or any other place for that matter. Also, they let your payment status known to credit bureaus which will further spoil your credit score.

How attorneys can help you in such a condition?
Debt attorneys can be of great help when you are facing such an issue with debt repayments. Hiring them can assure you of having someone besides you who can take care of your debt settlement issues and play your part in handling your creditors. Here are a few advantages of hiring them:

  • You don’t have to explain yourself to your creditors. It’s not that they forget your debts but because the attorney will handle all the calls from lenders with their expertise and knowledge.
  • You stop getting phone calls from your creditors. You get some mental peace when you have someone besides to guide you and help you cope with such a state of turmoil.
  • The attorneys can also earn you some negotiation with your creditors due to their contacts and expertise in this field.
  • When your creditor takes you to court to sue you, then a debt settlement lawyer can be of great help and may guide you during the legal proceedings.
  • They can help you deal with the situation. If you are not in a condition to make the repayments, then they can also help you in filing for bankruptcy. You would be surprised how a bankruptcy lawyer handles bankruptcy and improves his client’s financial situation with his skills and expertise.

So now you must have clearly understood the difference between the two kinds of debts. Which type of debt to take solely relies on you, but if you happen to get stuck in making the repayments, then walking to a bankruptcy law firm can be your best bet. Find the best foreclosure and debt lawyer near you who can guide you in all aspects to let you have a new start.

How a bankruptcy lawyer handles bankruptcy and improves his client’s financial situation?

In the recent years, Bankruptcy filings have gone up significantly and that’s not a bad thing. Filing for bankruptcy does not necessarily have to be a bad affair. Before diving into the topic, let’s have a brief overview of the bankruptcy filings.

Chapter 7 and Chapter 13 are the most common type of consumer bankruptcy. Both these types offer protection from the creditors, but the type an individual can file relies upon on the circumstances. The bankruptcy procedure is brimming with several rules and regulations that the creditor and debtor must follow. But chapter 11 isn’t as complicated like a civil case.

Some people prefer filing the bankruptcy case on their own to save the lawyer charge, however that may add a lot of complexities as the individuals are already in financial crisis. So, this isn’t a wise decision because a highly experienced Debt Relief Attorney Los Angeles can help you in avoiding unnecessary tension and most importantly save some money.

Let’s understand what are Chapter 7 and chapter 13 in detail
As mentioned above, the two kinds of bankruptcy accessible to consumers are Chapter 7 or Chapter 13. The way how each bankruptcy handles the financial circumstance and save you from the debt is different. For chapter 7, the case happens with the discharge as there is no repayment plan, so you become debt free. A Chapter 7 bankruptcy lawyer in Los Angeles may take care of your debt settlement and help you become debt-free in quick time.

In chapter 13 the debt handling process is entirely different, and it’s an excellent choice for the people with regular income. Chapter 13 is for the individuals who have enough standard pay to pay back something like a part of the debt. Chapter 13 bankruptcy acts more like a debt restructuring and is more convenient as it comes with a more rational payback plan. Due to this flexibility, the payback amount is very less than the initial amount where it began. So ultimately the person will be able to manage the debt much better.

What is expected from the consumer?

  1. Undergo the pre-bankruptcy credit counseling class before the bankruptcy filing
  2. Make sure you fill the bankruptcy forms correctly and pay the filing fees
  3. Appear in front of the bankruptcy trustee meeting with the creditors
  4. Make your payments
  5. Abide the court orders

How can a Debt relief attorney in Los Angeles CA help you?

Handling Credit Cards, Loans and Repossessions
A lawyer will illustrate the ideal approach to manage payday loans or Mastercard debt. The attorney will also explain how these are handled, how these will have an impact on your credit rating and various means to restore your credits as early as possible.

Debt Relief attorney in Woodland Hills CA try by all means to prevent the repossession or foreclosure so you can protect your property or automobiles from legal action.

Handling Debts payment
Debt settlement attorney in Los Angeles will analyze your financial background and determine your type of debt and approaches to deal with the debt. Before filing for bankruptcy, your attorneys will advise you not to pay a huge amount to one creditor than other creditors. In legal terms, it is termed as a preferential transfer. Sometimes to distribute the amount among all creditors equally, the bankruptcy trustee can file a lawsuit to recover the money.

Free Consultations
Before taking up any case, most of the bankruptcy attorney will offer a free consultation to understand your financial background and current debt situation. They are the right ones who can come up with appropriate solutions that will save you from debt and show a better path for a brighter financial circumstance.
Do you wonder what a debt relief attorney can do? Here are some other responsibilities of an attorney:
• Perform Cost-Benefit Analysis
• Determine the type of Bankruptcy
• File a Proof of Claim and Review Proposed to payback Plan
• Save Your Business Upfront
• Conduct Credit Checks

If you are going through any of these financial difficulties and looking for chapter 7 bankruptcy or chapter 13 bankruptcy attorney in Los Angeles, then contact us today!

Nader & Berneman, Attorneys at Law
Address: 21800 Oxnard Street, Suite 720 Woodland Hills, CA 91367
Service Areas- Encino, Woodland Hills & San Fernando Valley
Web- https://www.naderlawfirm.com/
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