The average American consumer, no matter their political affiliation or economic status is subjected every day with messages enforcing the idea that they should be constantly spending their money, which is good, as this is how the American economy survives. These ads are found everywhere: billboards besides freeways, pop-up ads on websites, television commercials, stamped onto paper products; Nearly everywhere we look, there is an ad that promotes spending money. It’s deeply embedded into the American culture that spending money is a great luxury, and people should be proud to spend.
While this may seem great on paper, far too many Americans find themselves struggling financially, with piling debts that accrue all too quickly. From the moment someone makes their first car payment, they’re well on their way towards debt that may haunt them for the rest of their lives.
All is well, and most are able to maintain their debts and pay back their loans in conjunction with the creditor’s standards, but what happens when you suddenly are injured or fall ill? How do you pay your creditors while you’re laid up in a hospital bed, or have lost work due to poor economic setting? While most shudder at the idea of declaring legal bankruptcy due to the stigmas attached to it, the act of declaring bankruptcy is far from the hideous and shameful act it’s made out to be, and can be made quite easy, with the help of a professional Texas bankruptcy lawyer, such as John A. Hixson, Attorney at Law.
Bankruptcy filings usually fall into two distinct categories, called chapters, each with their own pros and cons:
Chapter 7 bankruptcy, or straight bankruptcy, is the most commonly filed of the bankruptcy chapters, and is characterized by a series of steps that result in the state cancelling your debts to creditors, and filing an automatic stay, which will prevent the majority of creditors from seizing your property, garnishing your wages or otherwise harassing you. The courts may decide to liquidate some of your assets as a means of paying back your creditors, but in most instances, the declarer is able to keep their property, car, and majority of extraneous assets and their comfort is not negatively impacted.
Chapter 13 bankruptcy is a more drawn out process, where those business or individuals filing for it are about to keep almost all of their assets, and instead set up a legally binding repayment plan with their creditors which allows the individual to restructure their debts and pay them back as they can. These cases typically take three to five years of structured payments, and include nearly all the benefits offered by chapter 7 bankruptcy, with the addition of the debtor being able to keep all of his or her property, vehicles and assets.
Deciding which chapter bankruptcy you should file for is typically a case by case basis, so if you’re confused as to which type you should be considering, you’ve come to the right place. John A. Hixson is a Texan attorney with over two decades in dealing with these cases, and has successfully seen thousands of individuals and businesses get back onto their feet after bankruptcy. So if you’re in the Arlington TX, area or a surrounding community, call today, and take your first steps toward a debt free lifestyle.