Consolidating Your Debts

For those who are facing a situation of overwhelming debt, life may consist of a constant bombardment of harassing phone calls, emails, or letters from creditors or collection agencies and / or threats of repossession, foreclosure, and wage garnishment. Whether you are in this situation due to a family illness or injury, job loss, costly divorce, or overspending, finding a way to deal with it is vital for your emotional and physical well-being and for your future.

One possible solution for those who have too many debts is debt consolidation. This means combining all of your debts and making one lump sum payment on them every month. This can reduce the time involved in paying off all of the debts separately. It can also reduce the interest amount because consolidating them allows you to pay them off sooner and generally at a lower interest rate. One way to accomplish this is through a Chapter 13 bankruptcy case. This type of bankruptcy allows you to pool all of your unsecured debts into a repayment plan that will be paid over a 3 to 5 year time period. During that time, you will be under the protection of the bankruptcy court, which means that your creditors will not be able to contact you concerning your debt. They will only be able to go through the court and receive whatever payment has been court-approved. An advantage of this is that most people who file a Chapter 13 bankruptcy will wind up eliminating whatever debt remains after the repayment period has ended.

Bankruptcy Firm in Long Island, New York

Understanding all of your options when in financial hot water is essential and will allow you to figure out the right debt relief option based on your particular circumstances. This can be achieved with the assistance of a legal professional who practices in the field of bankruptcy and debt relief in your local area. For those residing in Long Island or elsewhere in Nassau County or Suffolk County, the law firm of Jacoby & Jacoby provides highly qualified and competent legal representation. It is the biggest bankruptcy law firm in Long Island and its legal team has more than 50 years of combined experience in this field.

The firm has handled more than 15,000 bankruptcy cases. That is the kind of experience you can really benefit from when faced with a financial crisis of insolvency. No matter how complex or hopeless your situation may seem, discussing it with a knowledgeable attorney will allow you to learn what your options are and how they will affect your future. To learn more, contact the firm to schedule a free, initial case consultation. Get the information and legal advice you need to make the right decision about how to handle your financial state today.