Maine Bankruptcy Lawyers, Debt Relief

Find a Bankruptcy Lawyer in Maine with our debt relief directory and get a free BK evalution for a loan modification, chapter 7, 11, 13 or debt settlement that could lead to a fresh start. Find out from a local attorney if bankruptcy is the best for your situation.

Bankruptcy provides debtors with a fresh start because bankruptcy protects consumers against lawsuit from creditors. Bankruptcy protection (automatic stay) begins after you’ve attended the mandatory credit counseling and filed your case with the Court. Until then, creditors can still attempt to collect your credit card debt and other debts. And, foreclosure proceedings may continue, if you’re in a foreclosure.

Should I file under chapter 7 or chapter 13?

If your average income during the six months before you file is more than the median income for a family of your size in your state, you may not be allowed to use chapter 7, depending on your income and debts. In this case, you’d have to file under chapter 13.

When you file for bankruptcy, you'll be asked to decide whether you want to "redeem" the property (pay the creditor the current replacement value of the property), "reaffirm" the debt (agree on new contract terms with the creditor), or let the creditor take it (surrender the property). If the property is worthless, the creditor may not bother. Depending on where you live, there may be other options as well. But, if you have more secured debts than unsecured, you may want to consider a chapter 13.

Every state has exemption laws, which dictate what types of property (or, in some cases, how much equity in particular types of property) you are entitled to keep if you file for chapter 7 bankruptcy. Look over these exemptions. What you want to keep may not be covered. In this case a chapter 13 could be more advantageous.

Are you facing foreclosure? If so, chapter 7 will only offer a temporary automatic stay (bankruptcy protection). It will not stop the foreclosure. The most effective way to stop a Maine foreclosure is to file under chapter 13.

Avoiding Bankruptcy
Maine chapter 7 bankruptcy laws and Maine chapter 13 bankruptcy laws have changed the landscape of filing for bankruptcy. It is now more complicated and expensive to file for chapter 7 and chapter 13 bankruptcy. But, there are two aggressive, but effective ways of avoiding bankruptcy: loan modification and debt settlement. A debt settlement involves getting your creditors to agree to take less than what you owe as full payment for the debt. A loan modification involves negotiating with your mortgage lender for rates and terms that allow you to stay in the loan. Bangor bankruptcy lawyers, Portland bankruptcy attorneys and other Maine bankruptcy attorneys can explain your options to you and help you select the best one for your situation.