Northeast Albuquerque Lawyer
From the verdant fields of North Domingo Baca Park to the magnificent homes of Vineyard Estates, Northeast Albuquerque is a charming area of the city filled with hard-working families. When those families have questions regarding financial law, estate planning, probate, bankruptcy, or family law issues, they turn to us. New Mexico Financial & Family Law has been providing sound legal guidance for over 25 years with our team of Lawyers in Northeast Albuquerque. Let us help guide you to the path where your brightest future lies.
What Are the Basics of Bankruptcy?
Many individuals and families who might be weighed down by debt for years can restructure their lives and begin to lay the foundation for a secure future, including saving for a home, a child’s education, a vacation, or other goals through the process of bankruptcy.
Chapter 7: Liquidation
Chapter 7 bankruptcy is handled in a short amount of time—typically three to four months—after which most common types of debt are no longer owed. Student loans and recent taxes are examples of debts not covered under this rule. The bankruptcy trustee may choose to sell part of the debtor’s assets if they own an excessive quantity of property in order to satisfy some of the debt. A bankruptcy attorney is there to ensure certain property will remain protected. The protected property would stay with the owner after filing for bankruptcy since it is “exempt” from the creditors’ claims.
Chapter 13: Restructuring
Families, individuals, and businesses with high incomes who are not eligible for a Chapter 7 bankruptcy may be able to file under Chapter 13. While paying monthly payments over three to five years, a person can maintain all their property while filing for Chapter 13 bankruptcy. These payments will cover a portion of their debt, and the remaining balance will be forgiven after the repayment period. If you are successful in paying off your creditors, the courts allow you to keep all of your nonexempt assets and property.
Chapter 11 Bankruptcy
This sort of bankruptcy is one that businesses regularly file for since it allows them to restructure and start becoming profitable again. When a business files for Chapter 11 bankruptcy, it has the choice to develop a reorganization plan, find different ways to increase revenue, and, if required, reduce spending. Following this filing, the effect on stockholders can be significant, and current equity interests may be eliminated. This kind of bankruptcy enables an organization to continue operating while requiring it to develop a debt repayment plan that complies with the court’s requirements. A Chapter 11 bankruptcy case may also be filed by an individual rather than a business.
Other, Less Common Forms of Bankruptcy
While the three legal procedures mentioned above are quite common, there are a few other bankruptcy types that are uncommon but available to different debtors.
Chapter 9
Governments with financial difficulties frequently have access to this kind of bankruptcy. For instance, municipalities, towns, and even some school districts may file for Chapter 9 bankruptcy. As part of this action, municipalities are not required to sell their assets. However, to repay the entire loan over a number of years, they must develop a repayment plan.
Chapter 12 Bankruptcy
Family farms and fisheries may benefit from this type of bankruptcy. It allows people to keep their property but makes them devise a plan for paying off their debts.
Chapter 15 Bankruptcy
This type of bankruptcy frequently involves international cases and is filed in the nation where the debtor currently resides.
The Bankruptcy Process in New Mexico
1) Consulting a New Mexico Bankruptcy Lawyer
The basic case overview and any pre-filing bankruptcy planning must be covered first. Many claims can’t be filed right away. Thus, a plan is needed to safeguard important assets. The lawyer can also confirm which chapter you can file under and what benefits and drawbacks you may have in your specific situation. If you are looking for a Northeast Albuquerque bankruptcy lawyer, do not hesitate to contact New Mexico Financial & Family Law by calling (505) 933-7625 or contacting us online.
2) Prepare Your Paperwork
You must first itemize your present financial condition, including your income, expenses, debt, and other assets. Additionally, you should gather records pertaining to your home, taxes, pay stubs, and an account snapshot. Your lawyer will utilize this information and their understanding of the bankruptcy procedure to present your case in the best possible light, minimizing any harm and maximizing the bankruptcy court’s protection.
3) Submitting Court Documents
You will have a chance to review the documents before your lawyer files them electronically after their office has finished all the documentation most efficiently for your case. The trustee—an attorney chosen by the bankruptcy court to analyze all the documents and ensure they comply with current law—will get any supporting documentation.
The automatic stay, which prevents creditors from contacting you until your case is resolved or extraordinary circumstances are met, takes effect when you file for bankruptcy. The automatic stay also covers ongoing legal proceedings, foreclosure procedures, and wage garnishments.
4) The Creditor’s Meeting (or 341 Meeting)
The trustee, an attorney chosen to handle the case on behalf of the bankruptcy court, will preside over a meeting about 30 days after the paperwork is filed with the court. The meeting must be attended by everyone who files. Although this is highly uncommon in Chapter 7 and is still uncommon in Chapter 13, creditors may attend and ask questions. The trustee will confirm that the documents were filed accurately and in compliance with the rules and law. Depending on the case’s problems and intricacy, this meeting typically lasts between 5 and 10 minutes.
Negotiations with the debtor’s attorney or the trustee are usually able to settle any concerns over the documents or assets. However, if discussions are unsuccessful, the creditor may request that a court hear the case and render a decision.
4) Confirmation of the Chapter 13 Plan
There can be follow-up meetings or discussions about the plan in a Chapter 13 bankruptcy. These discussions will continue until the bankruptcy petitioner, the trustee, and the creditors come to an arrangement. Once that plan has been approved, the Chapter 13 bankruptcy is formally in place and will continue until either the plan expires or the situation changes and the plan is abandoned.
4) Release
The trustee and creditors in a chapter 7 bankruptcy have 60 days to contest a debtor’s entitlement to discharge. The person will receive notice from the bankruptcy court shortly after the objection period confirming that all their dischargeable debts have been discharged if no objections or agreements are reached.
When the plan is finished within the time limit specified in the confirmed plan, a discharge is granted in a Chapter 13 bankruptcy. Usually, just a small portion of the debt has been settled with the creditors at this point. Accordingly, the matter will be ended with the discharge of any outstanding dischargeable debt.
Chapter 7 v Chapter 13 Bankruptcy
Which chapter (7 or 13) would be better for me? What is the distinction? In New Mexico, filing under the appropriate chapter may be crucial depending on a person’s income, assets, and ambitions. Find out more about how the two chapters differ from one another and whether one might be more appropriate for your particular circumstance by contacting an experienced bankruptcy attorney at New Mexico Financial & Family Law by calling (505) 933-7625 or contacting us online.
What Follows a Foreclosure? Is Bankruptcy a Preferable Choice?
Many people are worried about how bankruptcy may affect their credit, but they are willing to go through the foreclosure process, which may be far worse for both credit ratings and present and future buying potential.
Effect of Bankruptcy on Credit
Will filing for bankruptcy impact my credit? How does it compare to defaults and foreclosures? The potential impact of bankruptcy on credit scores is one of the main concerns, but should consumers be that concerned? Many people will likely be surprised that when a person’s debt-to-income ratio returns to healthy levels after filing for bankruptcy, their credit score may increase.
Why Do People in New Mexico File for Bankruptcy?
Who declares bankruptcy? Don’t I have to make my loan payments? What necessitates persons seeking bankruptcy law protections People are shocked to learn that reckless spending is not the main reason behind bankruptcy. On average, a middle-class family filing for bankruptcy has recently been impacted by circumstances beyond their control, such as a divorce, unemployment, or unanticipated medical expenses.
In a Bankruptcy, What Happens to My Belongings—My Car, My House, etc.?
When declaring bankruptcy, the property might be safeguarded by exemptions. Families can regain financial stability through bankruptcy by keeping most, if not all, of their material possessions, including their home, which may have significant equity.
Northeast Albuquerque Family Lawyer
Family relationships, structures, and support are the key points covered by family law. This is why it’s crucial to get the best family lawyer—one whose perspective on these crucial issues is in line with yours. Even when clients are facing the difficulties of divorce and the delicate issues that come with it, such as child custody, child support, asset distribution, legal separation, and domestic violence, New Mexico Financial & Family Law is committed to working closely with them to make the divorce process as bearable as possible with the least amount of adversarial actions.
With locations in Northeast and Downtown Albuquerque, New Mexico Financial & Family Law concentrates on addressing challenging family law and divorce cases all around the state of New Mexico.
The lawyers at New Mexico Financial & Family Law are committed to getting the best outcomes for their clients by acting swiftly and skillfully on their behalf. From the most complicated and difficult financial disputes to circumstances where parties just require a limited amount of legal guidance to complete their case, we take great joy in handling all family law concerns.
We provide our clients with the information they need to make the best decisions for themselves and their families because they have a strong work ethic and a comprehensive understanding of the law. Because we understand that a family law matter can have an impact on some of the most important aspects of a person’s life, we give every client the time and attention they need. If you are looking for a Northeast Albuquerque family lawyer, do not hesitate to contact New Mexico Financial & Family Law by calling (505) 503-4639 or contacting us online.
Northeast Albuquerque Probate Lawyer
The legal procedure used to split the assets of a deceased person’s estate is known as probate. It may entail confirming the validity of the will and the execution of the decedent’s wishes. In the absence of a will, the Probate Court must distribute the assets in accordance with the law.
Without an experienced attorney, it can be quite challenging to get through a tough legal procedure during the terrible period that follows the death of a loved one. The attorneys at New Mexico Financial & Family Law have a wealth of expertise assisting clients and their families through the probate process effectively, kindly, and compassionately, all the while fighting for their client’s best interests.
Having a Northeast Albuquerque Probate Lawyer from New Mexico Financial & Family Law on your side can speed up the process and produce better outcomes. Request a consultation from us right away. It is a pleasure for New Mexico Financial & Family Law to handle situations involving probate. The probate procedure is used to administer an estate after someone passes away. As a result, you won’t have to deal with estate preparation during this difficult time of sorrow.
Health care directives, durable powers of attorney, and final wills and testaments are all areas in which our staff has deep knowledge. If you cannot participate because of emotional distress, we will evaluate your situation to decide the best course of action and act as your immediate representative.
Resolving difficult probate cases is typically a complex and contentious process, even if it can occasionally be completed without opposition from opposing parties. We are available to assist you in making both circumstances as easy to handle as possible. Contact New Mexico Financial & Family Law to schedule a consultation so we can learn more about your situation. Call (505) 503-4639 or contact us online.