Applicability of chapter 7 bankruptcy or chapter 13 bankruptcy San Antonio
The applicability of Chapter 7 Bankruptcy or Chapter 13 Bankruptcy San Antonio depends on your present and future financial stability and regular income sources. If your attorney can prove to the court that you will not be in a position to repay the debts at any position, you may opt for chapter 7. Or you may have to settle for chapter 13. In both cases, you will be free of the burden of immediate repayment and the risk of property liquidation.
But you have to think seriously, before applying for Bankruptcy San Antonio. It could put all or most of your future business plans at stake. Banks may not be enthusiastic to grant you further loans. Your social and community status could be at stake. Vendors and service providers may try to avoid you in the future. Your customer base may also shrink due to the negative reputation you may earn in the market.
Chapter 7 Bankruptcy San Antonio – Scope and Applicability
Chapter 7 Bankruptcy San Antonio is applicable only when your income sources are incompetent to repay the debts. It doesn’t mean the sources have run dry already. You may still be getting an earning from your business or your profession. But the next income is always less than the net expenses. It is one case of Bankruptcy. The other case is related to the unmanageability of savings or money for debt repayment. Such a situation can occur when your net income and net expenses even out.
Your Chapter 7 Bankruptcy San Antonio attorney can make an unbiased analysis of your financial condition, before recommending the filing of the petition. Once you file it, you can get an order from the court to stop all the attempts by your creditors for liquidating your assets. The order can also stop any attempts to recover the debts from you in any other form also.
However, this will not stop them from filing a counter-petition in the court. Some of the loans like mortgage and auto loans can be foreclosed by the creditors. Then they may be able to stake claim over your house or automobile. You can hire a Chapter 7 Bankruptcy San Antonio attorney for saving you from such critical conditions. He may find an amicable solution which will be acceptable to you as well as your creditors.
Chapter 13 Bankruptcy San Antonio – When is it Applicable
Chapter 13 Bankruptcy San Antonio will be applicable when you have the capacity for repayment of your debts. But you may not be able to do it according to your creditors’ terms. Then your attorney will convince the court to reduce the net debt amount from multiple creditors. You may also get an opportunity to consolidate all the debts to intone. The reductions in the repayment amount can make it easy and comfortable for you.
Consult your Bankruptcy San Antonio attorney before taking any decision on applying the petition. He will be able to provide you with the right guidance to ensure applicability of Chapter 7 Bankruptcy or Chapter 13 Bankruptcy San Antonio.Tags: Bankruptcy