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When a person in under tremendous financial stress and does not know what to do with outstanding payments, he should consult a bankruptcy lawywer immediately. The lawyer understands the circumstances, guides the debtor on debt consolidation and advises on filing for bankruptcy under the right code. The experienced lawyer counsels the debtor on the advantages and disadvantages of filing under different codes. He guides the debtor to make an informed decision on his confused situation. In Sacramento the lawyers sit with the debtors to scrutinize the financial mess they are in and how to minimize it. They use legal expertise to obtain the best debt resolution. Different legal codes Those entities seeking debt relief under US bankruptcy law can do so under its 4 different chapters. A case is usually referred by the chapter number under which the petition filing is done. A bankruptcy lawywer offers the details and consequences of filing under a certain chapter to enable the debtor to make an informed decision. Chapter 7 is a liquidation process. In this method the debtor his/her properties and the funds for resale or auction are used towards repayment to creditors over and above the exemptions. But after exemptions the debtor usually does not have enough assets to settle outstanding debts. After a law was passed in 2005 consumer debtors find it extremely difficult to file bankruptcy under this chapter. Understanding the consequences of filing under each chapter is important and a bankruptcy lawywer can offer such legal advice. Chapter 9 is debt resolution for municipalities. Chapter 11 is debt reorganization method offered to companies and businesses and a few individuals. Generally in this case the amount of debt is very large. Companies try to restructure their debt burden to sustain their business and have a fresh financial start. They spread their debt repayments by restructuring their asset and debt allocations. Chapter 12 is debt resolution for farmers. Chapter 13 offers a method of debt adjustments made by the debtor. Here both debtor and creditor agree to repay outstanding debts or part of it with current income. Interesting Facts A bankruptcy lawywer will explain that either chapter 7 or chapter 13 bankruptcy filing can be filed individually or by married couple in the state of California. The costs involved for filing bankruptcies vary under different chapters. In Sacramento as per the law of the state of California it will cost $200 for filing under chapter 7 and $185 for filing under chapter 13 whether for 1 spouse or married filing jointly. When an individual debtor is undergoing divorce proceedings expenses like child support and alimony are not exempt from debt discharge as per 11 U.S.C Section 523 (a) (15) in the state of California. Sacramento bankruptcy lawyer guides the debtor and defines consequences of each filing so that the debtor can make an informed decision. Reading the reviews provided by the author is one of the best ways to gain necessary information on http://www.sacramento-bankruptcyattorney.com/contact/
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