Answers To Your Bankruptcy Questions
If you’re facing serious debt problems, whether individually or on behalf of your business, you need answers and you need the help of an experienced lawyer who understands the challenges you are facing and knows how to find the right solution for your needs.
At the Law Office of Amy Wilburn LLC, we serve individuals and businesses in all types of bankruptcy debt relief options. Our primary office is located in Toledo, and we serve clients throughout Northeast Ohio. Find some answers below and talk with attorney Amy Wilburn to get the help you need.
When can student loans be discharged?
In most cases, student loans are not eligible for discharge through bankruptcy. The goal is to avoid having people take advantage of the system. However, it is possible to have federal and private student loans discharged in bankruptcy in some cases. This requires a separate filing of an adversary proceeding showing that repaying these loans would create an undue hardship for you. The bankruptcy court has to approve this filing for you to discharge these debts.
How can I discharge taxes?
It is possible to discharge income tax debts if all the necessary conditions are met:
- Your tax debt must consist of income taxes.
- You did not commit tax fraud or wilfully evade paying your tax obligations.
- The taxes were due more than three (3) years ago, you filed your tax return related to them more than two (2) years ago, and they were assessed more than 240 days ago.
- The taxing authority has not placed a lien against your property.
We have a thorough knowledge of these debt-relief processes, so we can help you determine if you qualify to discharge your tax debts.
How can bankruptcy help me with foreclosure?
Bankruptcy can help you regarding foreclosure in two important ways. First, as soon as you file for bankruptcy, something called an “automatic stay” goes into effect. The automatic stay prohibits creditors and collections agents from engaging in any collections against the filer for the duration of the bankruptcy proceeding. This means they cannot move forward with the foreclosure right away, which can buy you some time to find a way to keep your home.
Second, bankruptcy, especially Chapter 13, can be a way to clear out other debts and allow you to catch up on your payments in order to avoid foreclosure entirely. In a Chapter 13 bankruptcy, you can pay your mortgage arrearage over three to five years, with no interest or penalties.
How much does bankruptcy cost?
The overall cost is a common and understandable concern for anyone facing significant debt problems. Court costs for bankruptcy proceedings are fixed and generally reasonable. Further, attorney Amy Wilburn and our team work hard to keep our fees to a minimum. Talk with us, and we can discuss the specifics of cost.
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We are a debt relief agency. We help people file for relief under the Bankruptcy Code.