Bellevue Bankruptcy Attorneys

If you do file for bankruptcy, your case will be handled in the United States District Court for the Western District of Washington, which is located in Downtown Seattle. It will also be necessary to hold a meeting of creditors, and this will take place at the Seattle U.S District Courthouse. If you would like to learn more, simply contact our law office for a free consultation. The US District Court’s local Western Washington bankruptcy site is also a great source of information for the Local Rules that apply to all King County cases, the Local Forms that apply to all Bellevue bankruptcy cases, and the Local Bankruptcy Filing Statistics here in the local Puget Sound Region. It’s also got a great local Legal Services and Resources page.

Do I qualify for bankruptcy in Washington State?

If you decide that declaring bankruptcy is your best option, the next step is to determine whether you qualify. The only way to make this determination is to talk directly with one of our King County bankruptcy attorneys, but in the meantime, you can review this page for some basic information.

If you make less than the median income for a household living in Washington State, you may qualify for Chapter 7 bankruptcy. If you make more than the median Washington household income, you may still qualify for Chapter 13 bankruptcy. Both allow you to discharge unsecured debt, but the latter requires that you make monthly payments after your debt is consolidated. This means you may have to pay back some of your unsecured debt, but in most cases it’s completely or mostly wiped out.

Don’t let a creditor or bill collector convince you to make bad financial decisions.

Creditors and collection agencies want one thing – money. They don’t care whether you lost your job or if a family member was terribly sick. Many of them will say just about anything to get money out of you, and some may even threaten you. They may tell you that your credit will be ruined forever if you don’t make some kind of payment. They may even try to convince you to cash out your retirement to pay off a bill that would have been entirely discharged had you just declared bankruptcy.

If you are really struggling financially, do not pay another dime on your debts until you speak with one of our Bellevue Chapter 7 bankruptcy attorneys. If you qualify, a Chapter 7 bankruptcy just might be the answer to your prayers. Imagine what it would be like to never have to pay your bills again. The entire process takes about four months. And, once it’s finished, all of your debts are gone! Poof! Vanished into thin air. Many of our bankruptcy clients are downright shocked at how easy the process is from start to finish.

Whatever you do, keep a few things in mind.

First, remember that debt collectors are not your friends.

They do not care about you or your family. They will say or do anything to get what they want. And, their goal is to get you to part with your money because this is how they get paid most of the time, on a commission. Our bankruptcy attorneys will give it to you straight. If we can help, great, we will let you know. But, if bankruptcy is not your best option, we will help you explore other avenues of King County debt relief.

Also, remember that debt collectors will never give you honest advice about your finances. They do not want you talking to a bankruptcy lawyer because they know the truth. You don’t have to live in fear of the phone ringing or suffer the embarrassment of a bill collector calling your boss at work. The second you file for bankruptcy, all collections stop. They can’t call you or even write you a letter. If they do, we can hold them responsible for attorney’s fees and punitive damages.

You may even feel guilty about not paying a debt because you’re a good person who always tries to do the right thing. Keep in mind that credit card companies routinely offer lines of credit with outrageous limits and high interest rates hoping you fall behind. This is part of their business model, and it’s a dubious business tactic that preys on innocent people.

You can fight back against these dubious business practices and get a fresh start financially at the same time. Our Bellevue bankruptcy lawyers can help.

Destroying the myths associated with bankruptcy.

There are a lot of myths about bankruptcy, many of which people believe. We took a list of these myths and wrote them down so that you can better understand the truth behind these common misconceptions. The bottom line is that bankruptcy helps hundreds of thousands of people regain financial independence every year. They are saved from home foreclosure. They rebuild their credit. They stop harassment from creditors. They enjoy a more prosperous future.

Let’s break down these falsehoods one by one with a little myth busting by one of our Bellevue bankruptcy attorneys.

Myth – Filing for bankruptcy means you failed.

There are a number of different reasons why people equate bankruptcy with failure. In our consumer culture, many people think that only deadbeats fail to keep up with their financial obligations. Our Bellevue bankruptcy lawyers, however, know the truth. We are all just one heartbeat away from financial chaos. One prolonged illness is all it takes to reassess that assertion. Creditors and collection agencies try to make debtors feel like failures, which certainly doesn’t help.

In many ways, the slow process of falling behind on bills can make someone feel like a failure. Declaring bankruptcy may seem like the final nail in the coffin, when it’s actually the smartest, most responsible way to handle unrelenting debt. A few months later, when their debt is discharged and their credit immediately starts to improve, they realize that bankruptcy is the opposite of failure.

Myth – If you file for bankruptcy, you will lose your car, assets, and savings.

Debt collectors love to keep this myth viable because it suits their interests. The media doesn’t help either because movies and TV shows often depict bankruptcy in this way. The truth is that in over 90% of Washington bankruptcy cases, the people who file keep their car, their home, and their possessions. They also save 100% of their retirement and up to $125,000 in home equity while discharging all or most of their unsecured debt.

Obviously, your case is unique, so it’s vital that you talk to one of our Bellevue bankruptcy lawyers about your financial situation. Bankruptcy isn’t right for everyone, but the pervasive myth that you’ll lose everything by filing is ridiculous. If you have questions about your personal property, give us a call. One of our King County bankruptcy lawyers will be happy to review all of your legal rights and options so that you can make a truly informed decision about what is best for you and your family.

Myth – Bankruptcy will solve all of my financial problems.

Bankruptcy does allow you to press the financial reset button, but there are some financial problems it simply cannot solve. You have to commit to a debt-free future to avoid repeating the same scenario. Think of it like a weight loss diet. You can lose weight and reach your goal, but if you go back to poor eating habits when the diet is over, you will quickly gain it back.

Debt is like that extra weight, and if you’re not careful it can quickly return. If you live a debt-free lifestyle, your credit will swiftly improve. Keep in mind that student loans cannot be discharged via bankruptcy. Neither can certain fines. It’s important to understand the limitations of bankruptcy so you’re fully prepared for what comes next.

Myth – Bankruptcy ruins your credit.

The opposite is actually true. Bankruptcy allows you to build credit once your debt is discharge. Many people are surprised by how quickly their credit rating improves.

Chapter 7 bankruptcies appear on credit reports for 10 years after the debt is discharged. However, lenders will offer you loans and lines of credit if you show that you are managing your finances effectively. Remember that millions of people declare bankruptcy every year. Creditors would be missing out on a massive market if they failed to extend credit to honest people that declare bankruptcy.

Chapter 13 bankruptcies will appear on credit reports for 7 years, but all of the above remains true. You will be able to get credit for a car loan or a credit card as long as you prove you’re responsible.

Settling an old debt with a collection agency will have a more dire effect on your credit score than filing for bankruptcy. Remember that when they threaten you, or tell you that making a payment will help your credit. It’s not true and they know it. Creditors do not make money by giving you accurate financial advice.

If you have questions about how filing for bankruptcy will affect your credit, talk to one of our Bellevue bankruptcy attorneys today. They can help you to understand the truth about filing for bankruptcy and your credit score. In most cases, your credit score has a lot more to do with how you manage your credit and your finances after filing bankruptcy, as opposed to the actual act of filing for bankruptcy.

Myth – If you’re going to file for bankruptcy, max out your credit cards because you have nothing to lose.

This is a dangerous myth that can get you into serious trouble, if you believe it. The bankruptcy court can deny your petition for bankruptcy if they think you went on a shopping spree at your creditor’s expense. They can even prosecute you for bankruptcy fraud. If you are having financial problems, take the responsible road by contacting one of our Bellevue bankruptcy lawyers. We will help you develop a plan designed to tackle debt responsibly.

How does it all work?