Achieving Total Debt Relief In St. Louis

Missouri consumers seek debt relief options by filing for bankruptcy. The state of Missouri requires all consumers to follow the guidelines of the 2005 Bankruptcy Act, by enrolling into a credit counseling program. Upon completion of the program, the consumer must present an attorney with heavily detailed documentation for their case. If you wish to begin the process for Debt Relief in St. Louis today, you should contact Law Offices of Steven K. Brown St. Louis promptly.

Filing for Bankruptcy in Missouri

The most common forms of bankruptcy is chapter 7 and 13. With changes in the laws associated with these chapters, consumers must meet eligibility requirements before proceeding to a court of law. The first and most important requirement refers to their income level.

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Bankruptcy claims should include documented proof of the consumer’s income for the last six months. The court uses the calculated total of all income sources to determine whether or not their income level surpasses the county median or falls below it. For chapter 13, the consumer’s income must be above this median. The median income for St. Louis is $52,728. If the consumer’s income calculation is not above this value, they do not qualify for chapter 13 and must file a claim for chapter 7 bankruptcy.

Achieving Debt Relief in St. Louis

With chapter 13, the consumer enters into a repayment plan that allows them up to five years to pay off all overdue balances for their debts. For a homeowner, this can prevent foreclosure as it initiates an automatic stay to prevent legal action by their mortgage lender. However, consumer-based debts outlined in the claim must be paid in full if stipulated in the claim.

Chapter 7 bankruptcy lawyer requires a liquidation of assets to pay off the debts completely. The automatic stay lasts only about six months. Unless a homeowner generated enough proceeds to pay off their home, they may still face a foreclosure.

Achieving Debt Relief in St. Louis requires consumers to review a clear picture of their debts. These opportunities are beneficial and may help them achieve overall debt relief. However, depending on the chapter they choose, it could affect their ability to maintain a repayment plan if their income is limited. To learn more about these concepts, visit the website now.

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