Attorney fees vary widely for many types of situations. That’s true of bankruptcy as well, which is frustrating when someone is struggling financially and overwhelmed with bills. Finding a reputable Cheap Bankruptcy Lawyer In Tacoma WA is a solution for men and women who cannot afford a large payment to an attorney during this difficult time.
Two Common Types of Filing
Chapter 13 is a repayment program that combines all the debts and has the individual making one payment each month. A trustee divides that amount and distributes payments to each creditor in the program. This plan can last up to five years.
Chapter 7, in contrast, discharges debts after a certain amount of assets have been dissolved to pay back as much money as possible. For many people, Chapter 13 is not an option because they don’t have enough income to make the monthly payment.
Making Filing Affordable
A Cheap Bankruptcy Lawyer In Tacoma WA may be willing to allow clients filing for Chapter 13 to pay their fees in installments. Court filing fees may be waived for U.S. residents filing Chapter 7 if their income is far below the federal poverty level. Bankruptcy attorneys generally provide free initial consultations, and there is no obligation to hire the lawyer after this appointment.
People often worry about the effect bankruptcy will have on their credit. However, it’s usually easier to rebuild credit after discharging debt or working out an affordable repayment plan. As long as the person is struggling and continuing to fall behind on payments, the credit report will continue to reflect that. By the time someone files for bankruptcy, the credit rating is typically already below 620, which is considered low.
To rebuild credit after filing for bankruptcy through an attorney such as Rafal Gorski, the main focus should be making all payments on time. If the individual will be responsible with a credit card, obtaining a higher-risk card within the next couple of years usually is possible. Paying at least the minimum due every month starts the credit rebuilding process, but it’s crucial not to become overextended again.