As a provider of bankruptcy help, we find that there is a lot of confusion surrounding whether or not military members can file for bankruptcy. It is commonly thought that those serving should be in a stable financial situation, pay their bills on time, and not have any direct financial issues. This would be wise considering the situation these men and women are in, especially during deployment. However, this is not always the case as many members of the military actually have more expenses due to relocating their families, caring for properties while they are away, etc. With this in mind, it can be easy for military families, just like civilian families, to find themselves facing financial hardship.
If this sounds like you – we can help. Members of the military have the same legal rights to file bankruptcy that civilians have. In fact, thanks to the Service Member Relief Act, military members can have some added benefits such as disabled veterans not needing to take the Chapter 7 means test. The one thing to consider prior to filing is where you are trying to go in your career and whether or not you will need a high-security clearance. If that is the case, let us know so that we can discuss all of your options. Bankruptcy may harm your ability to get high-level clearances so we will want to go over this in detail.
For most military members, the main goal is to have their family financially secure and stable. With a regular paycheck, mountains of debt can be the one thing that stands in the way of achieving that dream. This is where filing bankruptcy can be extremely helpful. While providing bankruptcy help, we will start by learning about the types and amount of debt that you have, including what your payments are. We will then want to know about your income and family expenses so that we can determine if you should have any funds left over to make debt payments. If you do, that’s okay. You may still qualify for bankruptcy.
There are two main types of bankruptcy that an individual can file. Chapter 13 is a reorganization that allows you to pay your creditors a portion of what you owe them. In this scenario, we would work with you to determine how much money you have to allocate towards debt repayments after your bills and expenses like groceries and gas have been accounted for. Next, a repayment plan would be proposed that states how many years you would be making this debt payment. If approved, at the end of this term any remaining debt would be wiped out. This allows you to pay something without having your family suffer on a monthly basis.
As a provider of bankruptcy help, we can also help you to file a Chapter 7. In this situation, your debts would be wiped out entirely. It is important to note, however, that if you want to keep an asset like a home or car that has a loan on it, you will need to continue making those payments. If you are in the military, or a civilian, call us to discuss your situation and which type of bankruptcy is right for you.
