The current economic downturn has led countless hard-working individuals to consider what was a few years ago unthinkable. With foreclosures at record highs, layoffs and furloughs becoming more common and collection agencies employing more harassing and aggressive techniques, you may be, perhaps for the first time, considering filing bankruptcy.

Many of our clients share something in common they are good people who would pay their debts, if they could. In these uncertain economic times, many of us are only a paycheck or two away from serious financial trouble. Oftentimes, the loss of a job, a divorce, an accident or health problems can quickly result in an insurmountable pile of bills, delinquencies and past due notices. Your family may be in jeopardy of losing its home to foreclosure or perhaps your car is in jeopardy of being repossessed. Perhaps you have been living off of your credit cards to keep other obligations current. Now your creditors are calling, but you are doing the best you can to stretch that paycheck as far as you can. Perhaps your paycheck was just garnished by a creditor who would not work with you. Perhaps you have always paid on time, but recently you just can't keep your payments current anymore. We want you to know that we can help.

The bankruptcy code was designed to protect individuals with insurmountable debt and provide them with an opportunity to reestablish themselves financially and provide relief from creditors. The two most common chapters of bankruptcy utilized to eliminate debt are Chapter 7 and Chapter 13 . A Chapter 7 bankruptcy, sometimes referred to as a liquidation bankruptcy, extinguishes all of your consumer debt, and allows you to keep many of your possessions, oftentimes including your home and car . A Chapter 13 bankruptcy is a repayment plan in which you repay a portion of your debt to your creditors by making a payment to the United States Trustee's Office for a period of either three years or five years, depending on your income. Your payment in a Chapter 13 bankruptcy would depend on your disposable income and your expenses. You could pay as much as 100% of your debt through a Chapter 13 plan (at 0% interest), or as little as 1% of your unsecured debt. Under Chapter 13, you are allowed to keep all of your property.

Once a bankruptcy petition is filed under either chapter, your creditors are notified by the bankruptcy court and are prohibited under Federal law from making direct contact with you. The filing of the petition also triggers the automatic stay, which prevents your creditors from filing or continuing a lawsuit or garnishment against you, foreclosing your home or repossessing your car prior to the conclusion of your bankruptcy case, without obtaining permission from the bankruptcy court.

Deciding which chapter of the bankruptcy code is right for you depends on a careful examination of your personal financial situation. Our attorneys can review your circumstances and advise you on whether you are a candidate to eliminate or reduce your debt in a Chapter 7 or Chapter 13 filing. At Coleman, Chambers, Rogers & Williams, LLP, we recognize that in considering bankruptcy you are faced with one of the toughest decisions of your life. Our experienced attorneys offer every potential client professional and courteous advice regarding the facts and myths surrounding bankruptcy. Let us help you get back on track to rebuilding your life and reestablishing your future financial success today. Whether your case is a simple, uncontested filing or an adversary proceeding involving contested debts, Contact us now for your free, confidential consultation.

"We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code."