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The Howze Law Firm in Rock Hill, South Carolina Explains Bankruptcy Laws

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The Howze Law Firm in Rock Hill, SC is explaining how the two bankruptcy chapters work in the state of South Carolina. South Carolina residents who are under financial pressure may find that filing bankruptcy is the right solution for them.

(Rock Hill, SC October 2021) The Howze Law Firm that serves the greater Charlotte metro area, is explaining the key benefits of filing for bankruptcy.

The federal bankruptcy law provides people going through tough financial times with an opportunity to start fresh. If you are currently facing major financial difficulties, bankruptcy can pave the way for debt relief. At The Howze Law Firm, their bankruptcy lawyer will help clients maximize the benefits of filing for bankruptcy based on each client’s personal needs and situation.

Which Chapter to File for Bankruptcy

Filing for bankruptcy in South Carolina provides a solution to reorganize your debts or to help get your debts dismissed due to being insolvent.  When someone is “insolvent” this means that they are in a financial state where they cannot pay their bills because their debts outweigh their income. In South Carolina, residents can file either Chapter 7 or Chapter 13 bankruptcy.  Deciding to file for bankruptcy relief will depend on several factors and qualifications, including the individual’s goal for filing for bankruptcy.

Chapter 7 bankruptcy is what people frequently choose because it does not involve a repayment plan. The benefit is that unsecured debt like credit card debt and medical bills are wiped out. In a Chapter 7 the debtor can keep certain “exempt” property; What is considered “exempt” property is based on each state’s laws.  The bankruptcy’s attorney’s job is to evaluate which assets are exempt and nonexempt and advise the debtor.  Nonexempt assets can be liquidated by the bankruptcy trustee.  You can own a home or car and file for Chapter 7 but they payments should be current by your lender before filing if you want to keep those assets.

Under Chapter 13, people must pay some or all of what they owe.  A three or five-year repayment plan is typically set up.  The benefits to Chapter 13 bankruptcy are that you can keep all your assets, lower interest rates on debts, stop penalties and late fees, stop a foreclosure, you may be able to pay fair market value for your car, debt is consolidated into one payment, and stop harassing creditor calls. Consulting with a Rock Hill lawyer for bankruptcy can help residents choose the best bankruptcy plan that is right for them.

About The Howze Law Firm

Attorney Tracy Bomar-Howze has been practicing law for over 21 years. She is licensed in Michigan, South Carolina, US District Court, and the US Bankruptcy Court in the District of South Carolina.  The firm offers free consultations and specializes in the legal practice areas of bankruptcy law, divorce, child custody, estate planning, probate, credit reporting inaccuracies, and creditor harassment.

The Howze Law Firm 

235 E. Main Street #115

Rock Hill, SC  29730



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