If you are experiencing financial distress, bankruptcy laws exist within the Commonwealth of Virginia to assist you in obtaining a fresh start or developing a plan to stabilize your economic life.

Ask yourself these questions and if the answers are yes, you may need help now:

• Do you owe more debt than you can pay back?
• Are you are having trouble paying mortgage, credit card, medical, or other bills?
• Do you need to stop a foreclosure on your home?
• Are creditors constantly harassing you with phone calls, letters, and legal threats?

Under the Federal Bankruptcy Code there are two types of bankruptcies to help individuals dissolve their debts and realize financial freedom. Both Chapter 7 and Chapter 13 bankruptcy allow an individual to break away from debts and start fresh with their finances but between the two there are important differences and qualifications.

Although every bankruptcy matter involves different issues, Attorney Paracha dedicates his time and knowledge to address your unique needs and concerns. With each case, his goal is to make your bankruptcy matter as easy and stress-free as possible and to help you keep your sense of dignity intact throughout the process.

An immediate benefit of filing for bankruptcy is an “automatic stay”. When you file Chapter 7 or Chapter 13 bankruptcy, the automatic stay prohibits collectors from harassing you – there will be no more calls, nor letters; the creditors will no longer threaten wage garnishment, foreclosure, nor vehicle repossession. Relief from this stressful burden will be the first step in relieving your daily woes.

Chapter 7 Bankruptcy (commonly referred to as “liquidation bankruptcy”):

Chapter 7 bankruptcy is designed to get rid of – or to “discharge” – most of your debts. It is used when there are significant unsecured debts, such as credit card obligations or medical bills. With Chapter 7 bankruptcy, the debtor typically does not possess non-exempt assets such as a house, a vehicle, or savings. If the debtor does possess non-exempt assets or property he/she would be required to turnover such property to a bankruptcy trustee who will then sell and distribute those proceeds to the unsecured creditors – in return, you are granted a discharge of those debts, meaning your debt will be cancelled. Spousal support, child support, student loans and some taxes are types of debt that cannot be discharged in bankruptcy.

You may choose Chapter 7 bankruptcy if you have:

• little or no income
• little or no property
• a significant amount of unsecured debt (such as medical bills and credit card obligations)

Filing for Chapter 7 bankruptcy will remain on your credit report for 10 years.

If you are thinking about filing for bankruptcy, it is important to contact an experienced attorney who can help you understand what options you have because bankruptcy may not always be your best option. Unlike most “bankruptcy law firms,” The Paracha Firm will examine with you the alternate options and explain how each will affect you, in the short term and in the long term. With this critical information, you then be equipped to make the most informed decision for your situation.

“You will not find a more experienced Law Firm! The outcome was better than I expected and I couldn’t thank him more for helping me out.”