Changing laws prohibit some Logan debtors from filing for chapter 7 Logan bankruptcy.

Economic challenges for local companies and individuals are very common right now. The collapse of the credit system has put many Logan citizens in financial strife and unmanageable debt. Bankruptcy is intended to provide relief to businesses and individuals who are struggling with insurmountable debt. The purpose of bankruptcy is also to give these debtors a chance to evaluate their finances and become more efficient with their money.

The Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) was passed to make sure that bankruptcy benefits are reserved for debtors who are unable to resolve their debts and not abused by others. This makes credit and Logan bankruptcy services more affordable for debtors who genuinely need help. A key component of the BAPCPA is the mean test.

The mean test is used to determine if debtors are able to make payments on their debts or not. The test works by comparing the income of the debtor to the average (or arithmetic mean) income of households the same size. Debtors who have incomes lower than the average for their household size generally pass the test. The court often requires debtors who have higher incomes to file for chapter 13 Logan bankruptcy instead.

Logan debtors who are considering chapter 7 Logan bankruptcy can easily find out if they pass the mean test by coming in for a free consultation. The mean test is one of the things we often discuss in the free consultation and if you bring in some information about your income and family size we can work out if you pass the test really quickly. The mean test is not a problem for the majority of debtors. About 95% of debtors who want to file for chapter 7 Logan bankruptcy pass the test without any problems.

You can find relief from your debt. Come in for a free consultation and you will also be confident that you are making the best financial and legal decisions for your household. Fill out a free evaluation form today and begin your one-way trip to financial stability!

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Being familiar with Utah bankruptcy trends will help you anticipate your needs when filing your own Utah bankruptcy.

Annual personal bankruptcy rates across the nation are the highest in years. The recession left many households with no income and substantial debt. The result is a steadily increasing rate of personal bankruptcy filings over the last few years.

So far, there have been 10,704 personal bankruptcy filings this year in Utah alone. That’s up from 9,243 filings in all of 2008 and 6,260 in 2007. Clearly, Utah bankruptcy is on the rise.

This increase in personal Utah bankruptcy cases can be misunderstood if taken out of context. No one likes to see bankruptcy rates increasing, but in fact we are still below the average bankruptcy rate from the first half of the decade. The financial market is going to recover from this recession and soon unemployment and bankruptcy rates will fall.

In the meantime, many individuals are struggling with debt and considering Utah bankruptcy. For such people, it is wise to be familiar with the trends of Utah bankruptcy. These trends provide clues for potential Utah bankruptcy filers that will help them be more successful.

For example, of the 10,704 personal Utah bankruptcies that have been filed this year, only 35% of them were under Chapter 13. The majority of personal Utah bankruptcy cases, 65%, are filed under Chapter 7, also known as liquidation bankruptcy. Debtors should know that, in all likelihood, they need to prepare for a Chapter 7 Utah bankruptcy.

Furthermore, because the number of personal Utah bankruptcy cases has gone up over 71% since 2007, there is greater demand for bankruptcy attorneys. Utah bankruptcy courts are also busier than they used to be. This makes it even more important for debtors to seek the help of experienced and skilled Utah bankruptcy attorneys. That way debtors can enjoy fast and successful bankruptcies despite the crowded courts and stiff competition.

Debtors considering Utah bankruptcy need to be familiar with the current trends. You wouldn’t put money in the stock market without knowing something about the companies you were investing in, would you? Don’t file for Utah bankruptcy without a knowledge of the trends, and don’t go it alone either. Let us help you get past Utah bankruptcy and on to the rest of your life.

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“What’s an asset?”  I hear this one a lot. 

New clients or people just considering Logan bankruptcy usually are not familiar with the terms that Logan bankruptcy law uses.  However, debtors who learn just a few of the most important terms have a better understanding of the Logan bankruptcy process and thus make better decisions and enjoy better results. 

I want you to have a successful and low-stress Logan bankruptcy, so I’m taking some time to talk about assets.

Your assets are your property, all of the things you own.  Your car, home, land, investments and other possessions are all assets.  During the Logan bankruptcy process, debtors make a careful inventory of all their assets and present it to the Logan bankruptcy court.  Debtors must also include all the assets that are in more than one name.  These assets are organized into groups.  Let me explain the different kinds of assets there are.

Financial Assets: These are assets that  increase in value over time.  Your home, and investments such as stocks and bonds are examples of financial assets.  Motor vehicles are not financial assets because they, generally, become less valuable over time.

Exempt Assets: The Logan bankruptcy court permits debtors to keep these assets after completing Chapter 7 Logan bankruptcy.  An asset is determined to be exempt if the equity the debtor has in it is below a predetermined cutoff.  Every type of asset has its own cutoff, so come in for a free consultation and we can discuss your unique case.  There are ways to protect more, if not all, of your property under exemption, so come in and let us help you.

Non-Exempt Assets: The Logan bankruptcy court takes these assets from debtors after completing Chapter 7 Logan bankruptcy.  The Logan bankruptcy court sells them for fair market value and pays the creditors with the money they generate.

Hopefully this answers some questions for you.  Many debtors worry about losing their property and their dignity in Logan bankruptcy, but you don’t need to be concerned.  I want you to become free from debt and get the fresh start you deserve.

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