Stratford Bankruptcy Lawyer

Stratford Bankruptcy Attorney

Financial problems can happen to anyone. An illness or injury, job loss, divorce or another unexpected event can leave anyone struggling to pay bills. Credit card debt can be especially overwhelming due to high interest rates and fees. Recent legislation will attempt to rein in fees and punitive interest rates by credit card companies. But these new laws do little to help people struggling under a mountain of debt right now.

If you are in debt and finding it difficult to meet your obligations, or if you are in a cycle of making minimum monthly payments without reducing your balances, you should learn about your debt relief options, including bankruptcy.

Since 1982, our Stratford, Connecticut, law firm has offered effective and well-informed legal help to individuals struggling with financial crises. To arrange a free consultation with a bankruptcy lawyer at our Stratford or East Haven office, or to learn more about what our clients have said about us, call 475-365-0408 or contact us online.

Bankruptcy Options

• Chapter 7 bankruptcy — In order to file Chapter 7, you must first pass the means test. You do not have to have a specific low income to qualify for Chapter 7. Instead, your disposable income after necessary expenses must be within certain limits. If you qualify for Chapter 7 bankruptcy, then the bankruptcy court can discharge (eliminate) credit card debt, medical bills and other unsecured debts. There are property exemptions that protect your home, automobile and some of your personal property in most Chapter 7 bankruptcy cases. Because each case is different, our attorneys can evaluate your situation at a free consultation and tell you whether Chapter 7 bankruptcy is the right option for you.
• Chapter 13 bankruptcy — Chapter 13 allows consumers to reorganize their debts and repay a portion of what they owe over a three- to five-year period. In order to be eligible for Chapter 13, you must submit a repayment plan for approval by the bankruptcy court. If the bankruptcy court approves the repayment plan, you can include mortgage arrearages, credit card debt, medical bills, car loans and other unsecured debts in your repayment plan. You may also be able to discharge some or all of your unsecured debt in Chapter 13, save your home and stop repossession of your vehicles.
• Chapter 11 bankruptcy — Businesses and individuals can seek relief under Chapter 11 to reorganize debt. Chapter 11 is similar in many ways to Chapter 13 but is intended to help businesses. Consult an experienced debt relief lawyer to learn more.

In order for individuals to file a bankruptcy petition, the law requires them to participate in credit counseling sessions over the phone or on the Internet. We assist our clients in arranging this counseling.

Bankruptcy And Your Home

Debt burden can jeopardize your ability to pay your mortgage. At Ambrogio, Pletter & Associates, LLC , we practice in real estate law as well as bankruptcy, which means we can give you thorough and practical advice about various debt relief options based on your current situation as a homeowner.

• Lost your home in foreclosure — If your home was worth less than what you owed, the mortgage company can get a judgment against you for the difference (deficiency judgment), which allows it to pursue you for payment even though you lost your house in foreclosure. Through Chapter 7 bankruptcy, you may be able to discharge the deficiency.
• Behind on your mortgage payments — Bankruptcy is only one of several options to either protect your home or walk away from a house that has become too great a financial burden. The nonbankruptcy options include foreclosure; a mortgage loan modification, perhaps through Connecticut’s foreclosure mediation program; a short sale; and a deed in lieu of foreclosure transaction.

Credit Cards, Repossessed Cars And Wage Garnishments

When consumers start thinking about bankruptcy, credit card debt, repossessed cars and wage garnishments are common causes. Talk to our attorneys about credit card debt settlement agreements, car repossessions and hardship petitions for wage garnishments.

There Is Life After Bankruptcy

It’s not uncommon for people to assume that if they file bankruptcy, their credit score will be ruined, they won’t be eligible for credit cards and they will have a difficult time qualifying for loans. This is not the case.

The reality is that most people can begin rebuilding their credit and qualify for a low balance credit card within a relatively short amount of time after filing bankruptcy. If you remain current on your credit card payments and continue to pay off your monthly balance, your credit limit will be increased over time. As your credit limit increases, your credit score should increase if you maintain a low debt to income ratio. As your credit score improves, you should qualify for certain kinds of loans.

At Ambrogio, Pletter & Associates, LLC , in Stratford, Connecticut, we prepare clients for life after bankruptcy by explaining the steps they can take to rebuild their credit. To discuss your situation with a lawyer in Stratford or Bridgeport, or to learn more about what our past clients say about us, call 475-365-0408 .

Life After Bankruptcy: The Facts

The three credit reporting agencies — Equifax, Experian and TransUnion — look at a number of factors when determining a person’s credit score. Until your credit score improves, it may be difficult to qualify for car loans, a mortgage or certain kinds of consumer loans. That’s why it’s so essential to take steps that will improve your credit score.

• Chapter 7 bankruptcy can stop harassing calls from debt collectors, allow you to discharge unsecured debts and delay foreclosure.
• Chapter 13 bankruptcy allows you to restructure your debt, save your home from foreclosure and avoid repossession of your cars.

Establishing Good Credit After Bankruptcy

A simple, yet effective, means for improving your credit score is establishing a pattern of dependability. If you make regular monthly payments on your credit cards, maintaining a zero or low balance, your credit score will improve.

In general, a low debt-to-credit ratio will work in your favor. That’s why it’s so important not to cancel a credit card even if you’ve paid off the balance: not only will its cancellation lower your debt-to-credit ratio by removing some of your available credit, but doing so could also be interpreted as an indication that you are having financial troubles.

Rebuilding credit is a function of careful money management and living within your means. Doing so establishes a history of financial stability that will positively impact your credit score. A number of simple steps can be taken in order to begin rebuilding your credit after bankruptcy, including:

• Obtaining new credit — for example, obtaining loans as a co-signer
• Paying insurance, utilities and other bills on time
• Showing evidence of financial stability
• Paying down credit card balances every month
• Not canceling existing credit card accounts
• Maintaining a low debt-to-credit ratio
• If possible, avoiding consolidation of credit cards into one high balance card

Once these measures have been implemented, an individual’s debt-to-credit ratio should improve.

Establishing A Budget

As a part of our bankruptcy services, we work with each client to develop a post-bankruptcy budget — encouraging him or her to keep track of spending, and where his or her money goes.

For a debtor, it is critical to start the habit of saving money — even as little as $20 a month. At Ambrogio, Pletter & Associates, LLC , we provide money management guidance that helps people determine and maintain a budget while rebuilding their credit.

Bankruptcy Dos And Don’ts

At Ambrogio, Pletter & Associates, LLC , we focus our attention on handling bankruptcy cases for clients in Stratford, Bridgeport and other Connecticut communities. We have handled thousands of Chapter 7 and Chapter 13 cases, and can effectively advise clients on their rights and options.

Below is a list of common dos and don’ts for filing bankruptcy. To learn more about how bankruptcy may be an option in your specific situation, call 475-365-0408 or contact our law firm online. We offer clients services that are tailored to meet their individual needs and goals.

DO.

• Ask for help. Seek advice and guidance from an experienced bankruptcy lawyer before your situation becomes too difficult and overwhelming. Taking action sooner rather than later can actually help you save your credit, as well as possibly save your home and possessions.
• Have an attorney help you do a title search on your home. This can reveal any judgment liens on the home, which can complicate your ability to file bankruptcy.

DON’T.

• Do not try and use up every dollar of credit limit before you see a bankruptcy attorney. This could lead to a red flag on your account and potential fraud accusations. Try to avoid maxing out your credit cards.
• Do not continue banking with a bank to which you owe money.
• Do not pay large sums of money back to family or friends before you file. A bankruptcy trustee can look back 12 months to see any transactions that have occurred.
• Do not make any transfers of money or other assets out of your name. The bankruptcy trustee can look back four years to see any transfers that have been made.
• Do not make a large withdrawal from your 401(k) before you speak to an attorney. The means test is used to determine if you are eligible to file bankruptcy and a withdrawal from your 401(k) is considered income. This may unintentionally inflate your income and make you ineligible for bankruptcy.

Learn More About Bankruptcy And Debt Relief

• Do I need to file bankruptcy? — Deciding when bankruptcy is the right option.
• Life after bankruptcy — What to expect after debt has been discharged.
• Bankruptcy FAQs — Find answers to your general bankruptcy-related questions.

Contact Us In Stratford Or Bridgeport, Connecticut

For more about eliminating credit card debt, loan modifications and bankruptcy options, contact our firm today to arrange your free consultation. Call 475-365-0408 .