Find a Bankruptcy Lawyer in Charlottesville, Virginia

Find the right Bankruptcy attorney in Charlottesville, VA

Bankruptcy in Charlottesville, Virginia is a court proceeding which allows an individual or business who is drowning in debt to be discharged of their legal obligation to pay off some or all of their debt. Hopefully, this will allow both the debtor and creditors to move on with their lives. However, bankruptcy is not a free ride, allowing someone who simply doesn't feel like paying their debts to get out of that legal obligation. It is designed to prevent debt which has slight chance of ever being paid back from ruining the life and finances of the debtor. It also carries significant long-term consequences, which must be carefully weighed against the potential benefits. For example, bankruptcy makes it very difficult for the debtor to obtain credit in the near future.

Accordingly, you should speak with a good Charlottesville, Virginia bankruptcy lawyer. Your Charlottesville bankruptcy lawyer can inform you of the costs and benefits of filing for bankruptcy, and give his or her professional evaluation as to whether or not it's a good option, given your specific circumstances.

Types of Bankruptcy in Charlottesville, Virginia

In Charlottesville, Virginia, there are three basic bankruptcy schemes that are most frequently used. They are identified as Chapter 7, Chapter 13, and Chapter 11. Being a product of federal law, the procedural rules governing bankruptcy in Charlottesville, Virginia will be very similar to those in any other part of the United States. Chapter 7 bankruptcy requires the debtor to liquidate some of his or her property, and use the proceeds to pay creditors. While this doesn't sound like much of a relief at first glance, the upshot is that once the appropriate property is sold, and the proceeds given to the creditors, all of the debtor's eligible debts are deemed paid in full, regardless of how much the creditors actually ended up getting. Not all of the debtor's property has to be sold off - the debtor will typically be allowed to keep things like a house, at least one car, some types of personal property, retirement accounts, and insurance policies. It should be noted that some debts are not dischargeable, and will have to be paid in full even if the debtor files for bankruptcy. This includes student loans, taxes, and criminal fines.

The other recognized bankruptcy scheme used by consumers in Charlottesville is Chapter 13 bankruptcy. In this system, debt is not discharged. Instead, it is restructured. This allows the debtor to have the terms of the arrangements that gave rise to their debts in the first place thrown out, and replaced with new terms that call for a structured repayment plan, designed to allow the debtor to survive on whatever income they have, and allowing the creditors to get paid back eventually. Once a payment plan is approved, creditors are not allowed to attempt to collect payment under the original agreements. Chapter 11 bankruptcy is generally used by businesses, though it can be used by individuals (which is quite rare). Chapter 11 bankruptcy requires that the debtor come up with a reorganization plan - typically telling the court how they propose to cut costs, streamline their operations, and pay their debts. This plan must be approved by the participating creditors through a simple majority vote.

One main advantage of Chapter 11 bankruptcy is that it allows businesses to continue their operations while the process plays out. Moreover, their stock can still be bought and sold.

How Can a Charlottesville Bankruptcy Lawyer Help?

Filing for bankruptcy in Charlottesville is a very important decision, and should not be made lightly. Before filing, one should consult with a good Charlottesville bankruptcy attorney for assistance.

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Life in Charlottesville

Charlottesville is an independent city surrounded by Albemarle County. Being an independent city, it is not actually legally part of the county in which it sits. It runs its own affairs, and unlike other cities, the government of the county in which it sits has no jurisdiction over it. It has a population of about 41,000 people.

Charlottesville was named in 2004 as the best place to live in the United States, in the book Cities Ranked and Rated, due in part to its high quality of life, low cost of living, and mild climate.

The city of Charlottesville is steeped in history. It was the home of presidents Thomas Jefferson and James Monroe. It is home to the University of Virginia, which was founded in 1819 by Thomas Jefferson. Along with Monticello (Thomas Jefferson's estate), the university is an UNESCO World Heritage Site - having been recognized by the United Nations as a place of special historical significance to all of mankind. It is the only university in the U.S., and one of the only manmade structures in the U.S., to be designated a World Heritage Site.

The University of Virginia has one of the best law schools in the country, so you don't need to worry about finding a good Charlottesville, Virginia lawyer, if you ever need one. Charlottesville lawyers are ready to take just about any case that you're likely to face.

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