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Seattle Bankruptcy Attorneys

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Wipe Out Your Debts.

Washington State Bankruptcy

Wondering if you can qualify for a Washington State bankruptcy?

Get help, answers, and information from a Seattle bankruptcy lawyer.

Tired of struggling every month just to have bill collectors harassing you and your family at all hours of the day and night?  Ever wonder what it would be like to never have to pay your credit card bills again?  If you qualify, our Seattle bankruptcy attorneys can end your financial nightmare.

Your creditors and those nasty debt collectors that do their dirty work want you to believe that seeking protection under the Federal and Washington State bankruptcy laws somehow means that you are a bad person or that you have somehow failed in life.  Our Seattle bankruptcy lawyers are here to help you understand that this is absolutely ridiculous.

The simple truth behind these shameless bullying tactics is that the Federal and Washington State  bankruptcy laws were specifically enacted to protect honest and hard working people who have fallen on hard times.  Our Seattle bankruptcy attorneys can help you determine if you qualify for bankruptcy protection and assist you in understanding your legal rights and options under the Bankruptcy Code.

During these times of economic instability, high unemployment, and financial uncertainty, more and more of our Washington neighbors need help getting back on their feet.  Our Seattle bankruptcy attorneys help hundreds of Chapter 7 bankruptcy and Chapter 13 bankruptcy clients throughout King County every year.

Call a Washington State bankruptcy lawyer today.

Find out what how our Seattle, WA bankruptcy attorneys can help you and your family take your life back.

STOP CREDITOR HARRASSMENT RIGHT NOW!

• We can stop those awful phone calls and scary letters!
• We can stop lawsuits and garnishments, and stop creditors from taking money from your bank accounts and paychecks!
• We can stop a foreclosure and save your house!
• We can stop repossessions and help you get back on track with your car payments!
• We can get rid of most kinds of unsecured debt - including credit cards, medical bills, payday loans, lines of credit, and even most income taxes more than 3 years old!
• Free up income, and have more money each month!
• Get a fresh start!

FREE CONSULTATION.

Our experienced Seattle bankruptcy attorneys and dedicated staff can get creditors off your back, and help you and your family get a fresh financial start.

OUR SEATTLE, WASHINGTON BANKRUPTCY LAWYERS WILL GO OVER YOUR SITUATION IN PERSON AND HELP YOU FIND OUT WHAT YOUR OPTIONS ARE UNDER THE BANKRUPTCY CODE.

TYPES OF BANKRUPTCY:

Seattle Chapter 7 Bankruptcy Attorneys

A Washington State Chapter 7 bankruptcy is for people that have no “disposable income” each month - in other words, there is not enough left after paying for rent, food, utilities, and other basic living expenses to pay for creditors, like credit cards and medical bills.
The whole process takes about 4 months, and will get rid of credit cards, medical bills, payday loans, and other unsecured debt. It will also get rid of most income taxes more than 3 years old.


Seattle Chapter 13 Bankruptcy Attorneys

A Washington Chapter 13 bankruptcy is basically a court-approved payment plan for people that have some disposable income. You can pay your creditors back some or all of the debt, but on your own terms, not theirs. Most clients pay little or nothing to their credit cards or other unsecured debts.

Our Seattle bankruptcy lawyers can use a chapter 13 bankruptcy to stop a foreclosure, and give you a chance to get caught up on missed payments on your house. We can do this for cars, too.

A chapter 13 case can alter the contract on your vehicle to make it more affordable.

A chapter 13 can protect you while you pay back taxes or child support.

Personal Attention

Our Seattle bankruptcy lawyers will give you and your case the personal attention that you deserve.

You will meet immediately with one of our experienced bankruptcy attorneys, who will look at your unique situation, and see how we can help you. The attorney will personally answer your questions, and explain the law to you.

We will discuss all options with you, and use Bankruptcy as a legal tool to help you to get a fresh start, and to help you get back on top of your life again.

Our Seattle Bankruptcy Lawyers Understand What is Happening

Let's face it.  Times are really tough right now.  And, our Seattle bankruptcy lawyers know that for many of our clients not their fault that they find themselves no longer able to pay their bills.  Many of our bankruptcy clients are simply caught in the gears of an ever-worsening economy that seems stuck in neutral at best.

Our Seattle bankruptcy attorneys know that creditors can be really nice when they are selling you something or want you to take out a loan with them.  But if you start to miss payments due to illness or unemployment, they can be abusive.

They will even harass your friends, family, and even call your employer!  The creditors will start charging huge fees, bump your interest rates up to the point you’ll never get ahead, and make you feel overwhelmed and threatened.

Bankruptcy is one of your Constitutional rights, and is a legal way of taking control of a tough situation, and cleaning up your debts so you can focus on taking care of yourself and your family during these hard economic times.  Our Seattle bankruptcy attorneys are here to help you understand your legal rights and options.

Our Washington State Bankruptcy Attorneys Will Do the Work, and Be With You Every Step of the Way

After your free consultation with one of our experienced bankruptcy attorneys, our Seattle bankruptcy lawyers and dedicated team of debt relief professionals will prepare all of the Court documents, address any issues or concerns you may have, file your case for you, prepare you for your Court appearance, and we will be there with you.

Our debt relief team successfully files hundreds of King County and Seattle bankruptcy cases every year, and we will guide you through the process to make it as smooth as possible.

Flexible Payment Plans

We offer a free consultation to discuss your situation and advise you whether bankruptcy is the right option for you.

Payment plans are available to meet your budget.

It’s Easy to Get Started Today

We can meet with you right away to help you learn more about ALL of your options. Just give us a call at ____________, or send us an e-mail at _____________.

HOW CAN A CHAPTER 7 HELP YOU?

IF YOU QUALIFY FOR A CHAPTER 7 BANKRUPTCY, OUR SEATTLE BANKRUPTCY LAWYERS CAN CHANGE YOUR LIFE ALMOST OVERNIGHT.

Are you tired of being hounded by creditors?  Are they threatening to sue you and garnish your wages and bank accounts?  Are they about to take away your car?  Is it starting to be hard to sleep at night, worrying about your family and how you can pay all the bills?

Do you need a second chance?

Our Seattle, WA bankruptcy attorneys can quickly help you get a second chance, a fresh start.

And here is how:

Your Right to Get Protection from your Creditors

Under federal law, cities, businesses, and individuals have the right to use bankruptcy laws to get protection from their creditors.  The reason the laws are there is to help people who are no longer able to pay all of their bills.  If you find yourself “robbing Peter to pay Paul”, and scrambling just to get by, then you most likely qualify for a chapter 7 bankruptcy.

How can a Washington State Chapter 7 bankruptcy help me and my family? 

Let our Seattle bankruptcy lawyers show you.

A chapter 7 bankruptcy can wipe out debt permanently, and free up money that you need to survive each month. Here are just some of the debts that a chapter 7 will discharge:
• Medical bills
• Credit cards
• Payday loans
• Unsecured lines of credit
• Old income taxes
• Broken leases and old utility bills
• Most judgments

Not only that, but a chapter 7 bankruptcy will immediately stop lawsuits, garnishments,
and repossessions, AND it will permanently stop creditor calls and letters.

You will wake up the day after you have filed, and will realize that as long as you work with your attorney and do everything you need to complete your case, in about 4 months you will receive a federal court discharge of thousands of dollars of debt, permanently.

You will have more money to spend again, and will be able to get back on your feet financially.  That’s why a chapter 7 bankruptcy is so often called a “Fresh Start”.

Imagine what it will feel like to get out from under all that crushing debt!

Do I Qualify Under the New Bankruptcy Laws?

Although the new bankruptcy laws changed some of the bankruptcy process, nearly everyone who qualified for a chapter 7 bankruptcy still qualifies. The “new” laws are now over 5 years old, and our Washington State and Seattle bankruptcy attorneys have helped thousands of people through the process.

How Do I Qualify for a Washington Chapter 7 Bankruptcy?

• You cannot have filed a chapter 7 bankruptcy in the past 8 years where you received a discharge.
• You must show that you have no “disposable” income, that is, your income is all going to pay basic living expenses, and you do not have anything left over to pay your unsecured creditors, such as those listed above, like credit cards and medical bills. (If you do have disposable income, you can still discharge thousands of dollars in debt through a chapter 13 case-see below)

Will A Washington Chapter 7 Bankruptcy Hurt My Credit?

Since credit scores are based in large part to your debt-to-income ratio, most people will actually experience an increase in their credit rating.

A bankruptcy appears on your credit for 10 years. But if you are already showing a bad credit history, then it will be on there for 7 years anyway.  A bankruptcy will show that none of that debt is collectible anymore, which actually makes you a safer credit risk than someone with unpaid and collectible debt who did NOT file a bankruptcy. 

If you have questions about how filing for bankruptcy will affect your credit, we encourage you to give us a call today and talk to one of our experienced Seattle bankruptcy attorneys.  We will be happy to review your specific circumstances and assist you in evaluating your specific situation.

The simple truth is that millions of Americans are being forced to file bankruptcy each year (1.5 million cases, many involving married couples, were filed in 2010 alone!).  This is because of a serious economic crash.  Banks and lenders know what’s happening out there (and many of them have had to get protection, too), and this will be taken into consideration by most people who review credit scores.

Will A Chapter 7 Discharge ALL of my debts?

A Chapter 7 bankruptcy discharges regular unsecured debt, as listed above, like credit cards and medical bills. It does NOT discharge:

• Child support and spousal maintenance
• Most taxes (except older income taxes)
• Fraudulent debt
• Fines and criminal restitution
• Student loans (there are exceptions—talk to us about this)
• Secured debt, like houses and cars. These have to be paid back. (We can often help you get better terms)
• Debt for personal injury or death caused by operating a motorized vehicle while under the influence of drugs or alcohol.

I’ve Heard I May Lose my Possessions, and Even My Pension?

This is a myth.   In a bankruptcy, you are entitled to certain dollar amounts for vehicles, jewelry, value in a house, clothes, furniture, and more.  The vast majority of Seattle Chapter 7 bankruptcy cases are “no asset” cases, and our client get to keep everything. Pensions and retirement, including IRAs and 401K’s are exempt (100% of 401K’s and over $1 million in IRAs.

Many assets, like cars and houses, have money owing on them-sometimes more than they are worth! So in most cses, as long as the lender is paid, you will be able to keep the asset.

Asset protection is one of the most important things we review thoroughly before we file a case. Make sure to let us know about all assets so that we can give you good advice.


WHAT IS A CHAPTER 13 BANKRUPTCY?

A Washington Chapter 13 bankruptcy is a kind of reorganization of your debts. It usually takes 3 to 5 years to complete. A Chapter 13 is available to those that have some disposable monthly income—that is, they have some money left over after paying basic living expenses every month to fund a “Chapter 13 Plan”.

You will work with our Seattle bankruptcy attorneys and our debt relief staff to create a Chapter 13 Plan, which proposes how you will treat each kind of debt: secured, priority unsecured, and general unsecured debt.  We will go over each of these below.

As soon as you file a Chapter 13 bankruptcy, the Bankruptcy Court will protect you from your creditors, even the IRS, while you pay according to your chapter 13 plan.  When you complete all of your plan payments, you will be entitled to a discharge of your debts.

HOW CAN A CHAPTER 13 BANKRUPTCY HELP ME?

A Chapter 13 bankruptcy can help do all of the following:

• Stop Garnishments
• Eliminates judgments
• Save your house from foreclosure
• Strip off your 2nd mortgage in some situations
• Can be filed only 4 years after filing a Chapter 7—you don’t have to wait!
• Get your license back
• Pay off Taxes or Back Child Support or Spousal Maintenance
• Stop Repossessions, and even “cram down” the amount you pay for your car
• Discharge credit cards, payday loans, medical bills and other unsecured debts
• Protect your assets, including your pensions, 401(k) and other retirement accounts
• Helps you get a new financial start, and gets your life back on track again
• Frees up income each month
• By discharging debt and getting your payments current, can actually HELP your credit
• Stops those annoying creditor calls and letters

WHAT ARE THE DIFFERENT KINDS OF DEBTS, AND HOW ARE THEY TREATED IN A CHAPTER 13?

There are several kinds of debt, and each one is treated differently in a chapter 13 plan.

Secured Debt

Secured debts are loans that have something, such as a car, house, furniture, jewelry or other item that acts as security for the loan, also known as “collateral”.  If you do not pay the loan, the lender can take back the collateral.

If it is a car being taken back, it is called a “repossession”. If it is a house being taken back, it is called a “foreclosure”.  In many cases, if you have something repossessed, you will still owe on the contract if the item could not be sold for enough to pay off the debt.

Foreclosure. In a Chapter 13 Plan, you can save your house by making payments in the plan towards your regular mortgage payments, plus a catch up payment to pay back missed mortgage payments. Right now, the Bankruptcy Courts do not have the authority to modify your mortgage, but you can be protected from foreclosure while you get caught up. It is important to talk to one of our attorneys as soon as possible if you receive a notification that the foreclosure process has started on your home.

Repossession. No one wants to wake up to see their car gone. If you are behind on payments, the lender has the right to repossess your vehicle. A bankruptcy filing will stop the repossession. If you purchased the car more than 2 ½ years ago, or refinanced it recently, you may be able to “cram down” the vehicle to its retail value, and just pay that amount instead. We can also cram down the interest rate in most cases. If you thought you did not have enough money to fund a chapter 13 plan, this is often a way we can get you into a plan payment you can afford.

Surrendering your assets in a Washington Chapter 13 bankruptcy.

In a Chapter 13 bankruptcy, you can surrender vehicles, houses, and other secured debts, and not owe any more on them.

Stripping Second Mortgages in a Washington Chapter 13 bankruptcy.

The downward spiral in house values has led to a little-known opportunity for those who file a Chapter 13 bankruptcy. Generally speaking, if the amount you owe on your 1st mortgage is MORE than the house is worth, any 2nd mortgage or Home Equity Line of Credit or other junior lien may be completely unsecured, and can be stripped off and discharged.

For example, a house is worth $150,000, but $160,000 is owed on the 1st and $20,000 is owed on the 2nd; here, the 2nd mortgage can be stripped off in a Chapter 13 bankruptcy. This is not possible in a Chapter 7.  Imagine keeping your house, and not having a second mortgage payment anymore!

Priority Debts in a Washington State Chapter 13 bankruptcy.

Priority debts are NOT dischargeable in bankruptcy, but can be paid back through a Chapter 13 plan under the Court’s protection. Here are the most common kinds of priority debt:

• Child support or spousal maintenance
o If the creditor is willing, missed payments can be paid back through a Chapter 13 Plan.
o You must stay current on any on-going payments while you are in your Chapter 13 plan.
• Taxes
o Dischargeable Taxes.
 If you owe income taxes for a year that was due three years ago or more, and you filed the return at least two years ago, in most cases you can discharge these old taxes.
o Non-Dischargeable Taxes.
 If you owe other kinds of taxes, such as employment taxes, or income taxes newer than 3 years old, you may not be able to discharge these. However, you can pay them back though a Chapter 13 Plan, and NOT have to pay interest and penalties!
• Death or Injury Caused While Operating a Motorized Vehicle Under the Influence of Drugs, Alcohol, or Other Substances.
o One of the changes under the new bankruptcy laws was to make this kind of debt a priority debt. It can be paid back through a Chapter 13 plan under the Court’s protection.

Unsecured, Non-Priority Debt
• Non-Dischargeable
o Student Loans
 Unfortunately, student loans are not normally dischargeable. There are several ways to deal with this, so make sure to talk to one of our attorneys for specifics. Current case law does not allow you to treat student loan debt differently than other unsecured debt in a chapter 13 plan.
o Fines and Traffic Tickets
 In a few instances, you may be able to pay these back through a Chapter 13 plan, and get your license back before your plan is even done!
o Criminal Restitution
 Not dischargable. Whether it can be treated differently in a chapter 13 plan (such as paying it off in full, but not paying other unsecured debt in full) is a case-by-case question.
o Fraudulent Debt
 Debt from embezzlement, abuse of a trust, or taking out a loan with false information may not be dischargeable. Cannot be treated differently than other unsecured debts.
• Dischargeable
o Credit Cards
o Medical Bills
o Payday Loans
o Unsecured Lines of Credit
o Older income Taxes
o Balances Left Owing After Repossessions and Foreclosures

HOW MUCH WILL MY CHAPTER 13 PLAN PAYMENT BE?

A Chapter 13 plan payment is usually your disposable income, plus any vehicles and/or house payments being made through your plan.  You have a maximum of 5 years to complete a Chapter 13 bankruptcy.  During your initial consultation, one of our Seattle bankruptcy lawyers will review your basic financial situation and assist you in understanding how a Chapter 13 bankruptcy works from start to finish.

There needs to be enough income available to make a mortgage payment and catch up on the mortgage if you are doing a chapter 13 to save your house. If you owe priority debt, you must be able to pay that off as well.

After paying secured and priority debt, if there is anything left over, the rest of the unsecured debts share in this. In most chapter 13 cases, little or nothing is paid to generally unsecured creditors. 

Even in a Chapter 13 plan that pays all creditors, you normally would not have to pay interest, and definitely will not have to pay late fees or over limit fees.  This can add up to many thousands of dollars in saved interest.

To get a precise chapter 13 payment amount, please call us for a free consultation so that one of our Seattle Chapter 13 bankruptcy attorneys can go over the details of your unique situation.