Navigating Bankruptcy: Advice from an Experienced Bankruptcy Attorney

Filing for bankruptcy can feel overwhelming—like standing at the edge of a cliff, unsure of what’s below. The truth is, while bankruptcy might seem like the end of the road, it can actually be a fresh start. It’s a legal tool designed to help individuals and businesses regain control of their finances, and with the right guidance, the process can be smoother than you’d expect. That’s where the Law Office of Rowena N. Nelson, LLC steps in. We’ve helped countless clients navigate the complexities of bankruptcy, providing personalized advice and strategic solutions every step of the way.

What Exactly Is Bankruptcy?

At its core, bankruptcy is a legal process that allows individuals or businesses to either eliminate or repay their debts under the protection of the federal bankruptcy court. It’s not about failure—it’s about restructuring, rebuilding, and moving forward. There are different types of bankruptcy, but the most common for individuals and small businesses are:

• Chapter 7 (Liquidation): This is the most common type of bankruptcy. It allows you to discharge most unsecured debts, like credit card debt and medical bills. In exchange, some of your non-exempt assets may be sold to repay creditors.
• Chapter 13 (Reorganization): Ideal for those with a steady income, Chapter 13 lets you keep your property while repaying debts over a 3-5 year period based on a court-approved plan.
• Chapter 11 (Business Reorganization): Typically used by businesses, this chapter helps companies restructure their debts and continue operations while repaying creditors over time.

The Law Office of Rowena N. Nelson, LLC specializes in helping both individuals and businesses determine which type of bankruptcy best fits their unique situation.

When Should You Consider Bankruptcy?

Bankruptcy isn’t always the first solution, but it can be the best option when:

• You’re overwhelmed with debt and can’t keep up with minimum payments.
• You’re facing foreclosure, repossession, or wage garnishment.
• Creditors are constantly calling, and you’re under constant financial stress.
• You’ve tried debt consolidation or repayment plans without success.

If any of these sound familiar, it might be time to speak with an attorney. At the Law Office of Rowena N. Nelson, LLC, we offer confidential consultations to discuss your options and help you understand whether bankruptcy is right for you.

The Bankruptcy Process: What to Expect

Filing for bankruptcy can seem intimidating, but having the right legal team makes a world of difference. Here’s a simplified look at the process:

 

1. Initial Consultation

We start with a one-on-one meeting to understand your financial situation. We’ll review your income, debts, assets, and goals to determine the best course of action.

 

2. Filing the Petition

Once we’ve gathered all the necessary information, we’ll prepare and file your bankruptcy petition with the court. This triggers an automatic stay, which immediately stops most collection efforts, including calls from creditors, wage garnishments, and even foreclosure proceedings.

 

3. Meeting of Creditors (341 Meeting)

About a month after filing, you’ll attend a brief meeting with the bankruptcy trustee (not a judge). Creditors can attend, but they rarely do. The trustee will ask basic questions about your financial situation to verify the information in your petition.

 

4. Debt Discharge or Repayment Plan

• For Chapter 7, if everything is in order, you’ll typically receive a discharge of your eligible debts within 3-4 months.
• For Chapter 13, we’ll work with the court to confirm your repayment plan, and once you complete the plan, your remaining eligible debts will be discharged.

At the Law Office of Rowena N. Nelson, LLC, we’re with you every step of the way, ensuring the process goes smoothly and that your rights are protected.

Common Bankruptcy Myths—Debunked

There’s a lot of misinformation out there about bankruptcy, and it can scare people away from considering an option that might be the best for them. Let’s clear up a few myths:

• Myth 1: Bankruptcy Will Ruin My Credit Forever
  Not true. While bankruptcy does impact your credit score, many people find that their credit starts to improve within a year after filing. In fact, for some, it’s the first step toward rebuilding their credit.
• Myth 2: I’ll Lose Everything I Own
  Most people who file for bankruptcy keep their homes, cars, and personal belongings. Maryland has exemptions that protect certain assets, and we’ll help you understand what’s protected.
• Myth 3: Only Irresponsible People File for Bankruptcy
  Financial hardship can happen to anyone—job loss, medical emergencies, divorce, or unexpected life events can turn things upside down. Bankruptcy is a legal, responsible way to regain control.

How the Law Office of Rowena N. Nelson, LLC Can Help

Choosing the right bankruptcy attorney can make all the difference. At the Law Office of Rowena N. Nelson, LLC, we take pride in offering compassionate, judgment-free support. We understand that financial struggles are stressful, and we’re here to help you find solutions, not add to your worries.

Why Choose Us?

• Personalized Guidance: We don’t believe in one-size-fits-all solutions. Every client’s situation is unique, and we tailor our approach to meet your specific needs.
• Clear Communication: Bankruptcy can be confusing, but we break down complex legal terms into plain language so you always understand what’s happening.
• Strong Advocacy: From protecting your assets to stopping creditor harassment, we fight for your financial peace of mind.

Ready to Take Control of Your Financial Future?

If you’re considering bankruptcy or just want to explore your options, don’t wait. The sooner you seek legal advice, the more options you’ll have. Contact the Law Office of Rowena N. Nelson, LLC today or visit www.rnnlawmd.com to schedule a consultation. We’re here to help you navigate the process with confidence and get you back on the path to financial stability.