Bankruptcy Attorney’s Protecting Seniors

One of the most heart breaking sights confronted by Bankruptcy Attorney Long Beach is the sight of senior citizens filing for bankruptcy. Some of the reasons why seniors file for bankruptcy are death of a spouse, illness, loss of income or being cheated by a relative or friend of their credit. Many seniors feel ashamed to file for bankruptcy when they should not have any reason to feel remorse as the economic times are very trying today and unemployment and foreclosures rule the roost.

Because seniors feel this shame and remorse, they tend not to seek advice from qualified Bankruptcy Attorney Los Angeles. By the time they do decide to ask for advice, they have exhausted all their savings and in many cases they have utilized the equity in their home. This is too late a time for an attorney to do anything positive for the elderly person.

It is very important that seniors ask for financial advice from bankruptcy attorneys at the beginning of their financial troubles so as to be prepared when actually a bankruptcy might have to be filed. Free legal advice is available and they can avail of it. And what is more, you can consult more than one attorney to get as many opinions as you want.

Advice on protecting assets is very important at the beginning of financial setbacks. The Federal bankruptcy code lists exemptions that provide protection from the liquidation process. Timely advice will let you know what assets of yours are exempted and therefore protected.

Furthermore, chapter 7 bankruptcy attorney can help the senior citizen if he satisfies certain conditions. For example, if the senior citizen’s income is below the median income. The advantage of chapter 7 bankruptcy is that most unsecured debts might be discharged. The process is very quick and you might even receive your discharge within a few months. Creditors are not allowed to contact you while the automatic stay is effective. They cannot contact you after your debts have been discharged.

Chapter 7 is commonly used when you have little property except for basic necessities like furniture and clothing and/or you have very little funds left after your basic expenses are taken care of.

In some case a chapter 13 bankruptcy attorney can help you out. Under the chapter 13 bankruptcy filing, you get to keep most of your property while gaining more time to pay past dues. You may gain up to 4-5 years to make good delinquent accounts on the basis of a schedule drawn up by in agreement between you and the bankruptcy trustee. You will in effect make one monthly payment to the trustee which will be distributed to your creditors. During this protected period you need not communicate directly with your creditors.