In today's difficult economy, many people are finding it hard to make ends meet. Coupled with long term unemployment or low wages, many find that they aren't able to get out of the financial hole they have unintentionally dug themselves into. Credit card bills, medical bills, car loans, upside down mortgages and even gas prices make it difficult to have money to eat, let alone pay down your debts. When you get to the point that your money doesn't stretch enough no matter what you do, it may be time to talk to a lawyer that handles Bankruptcy Minnesota. He'll be able to advise the best option for you and your specific situation.

A bankruptcy lawyer will usually offer a free consultation to assess your situation before you make the decision to hire him. Don't feel discouraged if you don't feel comfortable with the first attorney you speak with. You'll be working very closely with your bankruptcy attorney and discussing personal matters frequently. Make sure that you have chosen a lawyer and law office you're comfortable dealing with.

The attorney will explain the laws of Bankruptcy Minnesota and tell you what type of bankruptcy you most likely qualify for. The most frequently filed bankruptcy's are either Chapter 7 or Chapter 13. A Chapter 7 Bankruptcy will immediately discharge your debts at the court hearing. This type bankruptcy is only available for individuals who have no assets to speak of and no income to pay for any of their debt. A Chapter 13 Bankruptcy is more commonplace now a days. This type bankruptcy is for individuals with an income of some sort and some personal property or assets of value, though they may not be much. With Chapter 13 Bankruptcy, the individual will pay a payment to their court appointed trustee on a monthly basis. This amount is usually suggested to the court by your attorney and approved in court. The payment is usually for four to five years and is usually only a small fraction of the debt owed. When the payment is complete, the remaining debts are discharged and you begin fresh.


No matter which bankruptcy you and your attorney choose, it's important to fully understand your options. Speaking to a qualified attorney will let you make the right choice for you and your particular situation.

0 comments