Best Bankruptcy & Debt Lawyers in Towson

About Bankruptcy & Debt Law in Towson, United States:

Bankruptcy & Debt law in Towson, United States deals with the legal processes surrounding individuals or businesses who are unable to repay their outstanding debts. Bankruptcy laws provide a way for debtors to receive relief from their debts while also ensuring fair treatment for creditors.

Why You May Need a Lawyer:

Dealing with bankruptcy and debt issues can be complex and overwhelming. A lawyer specializing in bankruptcy law can help guide you through the legal process, protect your rights, and provide valuable advice on how to best address your financial situation. Common situations where you may need a lawyer include facing foreclosure, creditor harassment, or contemplating filing for bankruptcy.

Local Laws Overview:

In Towson, Maryland, bankruptcy laws are governed by federal statutes outlined in the United States Bankruptcy Code. However, there are also state-specific laws and regulations that may impact bankruptcy cases in Maryland. It is important to be aware of the local laws and procedures that apply to bankruptcy and debt cases in Towson to ensure the best possible outcome for your situation.

Frequently Asked Questions:

1. What are the different types of bankruptcy that I can file for in Towson?

In Towson, individuals typically file for either Chapter 7 or Chapter 13 bankruptcy. Chapter 7 allows for the discharge of certain debts, while Chapter 13 involves a repayment plan over a period of time.

2. Will filing for bankruptcy stop creditor harassment?

Yes, filing for bankruptcy will initiate an automatic stay, which prohibits creditors from contacting you or pursuing collection actions against you.

3. How will bankruptcy affect my credit score?

Bankruptcy will have a negative impact on your credit score, but it is possible to rebuild your credit over time with responsible financial practices.

4. Do I need to hire a lawyer to file for bankruptcy in Towson?

While it is not required by law to hire a lawyer to file for bankruptcy, it is highly recommended due to the complexity of bankruptcy laws and procedures.

5. Can I keep my house and car if I file for bankruptcy?

It depends on various factors, including the type of bankruptcy you file and the value of your assets. Consulting with a bankruptcy lawyer can help you understand your options.

6. How long does the bankruptcy process typically take in Towson?

The timeline for a bankruptcy case can vary depending on the individual circumstances, but Chapter 7 cases typically take a few months to complete, while Chapter 13 cases can last three to five years.

7. Will I have to go to court if I file for bankruptcy?

Yes, you will be required to attend a meeting of creditors, also known as a 341 meeting, where you will be questioned about your financial situation by a bankruptcy trustee.

8. Can I discharge all of my debts through bankruptcy?

Not all debts can be discharged through bankruptcy, such as child support, alimony, student loans, and certain tax debts.

9. How much does it cost to file for bankruptcy in Towson?

The filing fee for Chapter 7 bankruptcy is $335, and the filing fee for Chapter 13 bankruptcy is $310 as of 2021. Additionally, attorney fees will vary depending on the complexity of your case.

10. What are the consequences of not paying my debts in Towson?

Failing to pay your debts can result in legal action taken by creditors, such as wage garnishment, property liens, or asset seizure. It is important to seek legal advice if you are struggling to repay your debts.

Additional Resources:

- Maryland Legal Aid: https://www.mdlab.org/ - Bankruptcy Court for the District of Maryland: https://www.mdb.uscourts.gov/ - Maryland Volunteer Lawyers Service: https://mvlslaw.org/

Next Steps:

If you are facing financial difficulties or considering filing for bankruptcy in Towson, it is advisable to seek legal advice from a reputable bankruptcy lawyer. They can assess your situation, explain your options, and guide you through the bankruptcy process to achieve a fresh start financially.