Are you are facing foreclosure, vehicle repossession, or unable to pay your bills? If you are in debt, you deserve the opportunity to start over. Bankruptcy gives debtors the opportunity to start over by discharging their debt. If your debt has become unmanageable, you should consult a Bothell, Washington bankruptcy attorney and learn about your options. Ken Schneider, Attorney at Law has been helping clients obtain relief through Chapter 7, Chapter 13 and Chapter 11 bankruptcy matters since 1993. Ken Schneider offers free bankruptcy consultations.
The fundamental goal of the federal bankruptcy laws enacted by Congress is to give debtors a fresh financial start. A fresh financial start can be achieved through bankruptcy. Chapter 7 and Chapter 13 bankruptcy are the two types of bankruptcy options typically available to debtors. If you are considering filing bankruptcy, you will need a knowledgeable Bothell, Washington bankruptcy attorney who will help you understand the benefits, ramifications, and process of filing a Chapter 7 or Chapter 13 bankruptcy.
The Benefits of Filing Bankruptcy
If your debt has become unmanageable and you are receiving calls from creditors, you are at risk of having your wages garnished. Filing a Chapter 7 or Chapter 13 bankruptcy will provide you immediate relief from creditors. Typically, the filing of Chapter 7 or Chapter 13 bankruptcy automatically triggers an automatic stay.This stops all collection action against you and your property.
While the stay is in effect, the creditor cannot initiate or continue lawsuits, foreclosure sales, wage garnishments, or other collection efforts, such as telephone calls demanding payment. The automatic stay offers many benefits. To learn more about the benefits of a bankruptcy automatic stay, contact Bothell bankruptcy attorney Ken Schneider.
Do I lose my Possessions if I File Bankruptcy?
When filing a Chapter 7 or Chapter 13 bankruptcy, your bankruptcy estate will need to be determined. The bankruptcy estate consists of your property and assets. Determining which federal and state exemptions to use can be a very complicated process. Exemptions are the items and or property that you will be able to keep and the creditors will not have access to. Due to the complex nature of exemptions, and the impact that they will have on your case, it is essential that you contact a knowledgeable bankruptcy attorney who can determine which exemptions provide you the most protection.
Bothell, Washington Bankruptcy Exemptions
While there are federal exemptions, there are also state exemptions (items creditors cannot access), that can provide debtors additional protection. The following bankruptcy exemptions apply to Washington residents, and some can be used in conjunction with federal exemptions:
- Homestead – Real property or mobile home, and equity up to a specific amount
- Personal Property – Clothing, keepsakes, and vehicle up to a specific amount
- Insurance – Proceeds from health, disability or personal injury settlements, health insurance, and life insurance or annuity earnings
- Pension – Along with insurance, state employee pensions are exempt (public patrol officers, volunteer firefighters)
- Public Benefits – Unemployment compensation, workers’ compensation, crime victims compensation
- Tools of Trade – Items such as clothing, books and tools/instruments used in your trade up to $5000
- Wages – 75% of your earned but unpaid wages; may be authorized to low-income debtors
- Wild Card – $3000 in any personal property is exempt (no more than $1500 in cash; nor more than $500 in financial accounts)
Do I Qualify for a Chapter 7 Bankruptcy?
In order to obtain relief through Chapter 7 bankruptcy, you must pass the Washington Chapter 7 bankruptcy means test. The determining factor is your household income based on the size of your household. If your household income is less than the Washington State median household income, than you will most likely qualify for Chapter 7 bankruptcy. If you are a high wage earner who exceeds the Washington state median household income threshold you may still qualify to file bankruptcy.
How Can We Help?
Ken Schneider, Attorney at Law has extensive experience conducting thorough client evaluations. Ken Schneider will review your current financial situation and determine what bankruptcy petition will work best so that you can achieve financial freedom. Ken Schneider will address all of your secured and unsecured debt so that you are able to make informed decisions. Ken Schneider and his support staff will help guide you throughout the entire bankruptcy process by answering all of your questions and concerns. Contact Bothell bankruptcy attorney Ken Schneider today for your free bankruptcy consultation.