Kansas City Bankruptcy Attorneys
A Fresh Financial Start Is in Your Future
In today’s economic climate, more and more people are turning to bankruptcy for financial relief. Like them, you may find that your credit card debt, unpaid medical bills, overdue payday loans, or other types of debt have quickly spiraled out of control. Dealing with the problem sooner rather than later can eliminate your stress and prevent larger problems in the future.
We Can Set You up for Financial Success
- You'll Get the 1 on 1 Attention Your Case Deserves
- We'll Always Answer Your Questions & Return Your Phone Calls
- We've Handled Thousands of Bankruptcy Cases
- Offices in Kansas City, Lenexa, and Lee's Summit
If you face mounting financial challenges and feel as though you will never be able to get on top of your current financial situation, consult with an experienced bankruptcy attorney at Patton & Dean, LLC. You do not have to continue on in the cycle of being frustrated and overwhelmed, and we can help you understand your options.
It is natural for you to wonder about the implications of filing for bankruptcy. Filing for Chapter 7 or Chapter 13 bankruptcy may make you eligible for a number of benefits, depending on the kind of relief you seek. For example, you may be eligible to have all phone calls and bill collections discontinued and interest charges on credit cards stopped—immediately.
Why We Offer “The Complete Bankruptcy”
At Patton & Dean, LLC, we take a unique approach to bankruptcy. Our Complete Bankruptcy model is based on the reality that bankruptcy is a process, not just a court case. We will stand by you through all stages of that process — from weighing your options and preparing to file to addressing the issues that may arise, such as credit repair. Few other lawyers offer this level of comprehensive guidance.
Our goal is to help people get back on track following financial difficulties.
Why Consider Bankruptcy?
While some people think of bankruptcy as a last resort, it is actually more of a new beginning for those in dire financial situations. Bankruptcy is like a breath of fresh air. Its many benefits can work to your advantage. For example, bankruptcy will give you the time you need to sort through financial priorities and straighten out your financial future — without the pressure of collection lawsuits, wage garnishment, and other stifling collection efforts.
For many Americans, pursuing Chapter 7 or Chapter 13 bankruptcy is the first step toward a more stable financial future. There is no shame in taking advantage of the protections available to you under federal bankruptcy law.
How Much Debt Do You Have to Have to File for Bankruptcy?
There are guidelines that must be followed in order to qualify for either Chapter 7 or Chapter 13 bankruptcy.
As of April 1, 2019, Chapter 13 is not a viable option for you if you have more than $1,257,850 in secured debt (for homes, cars, etc.) or more than $419,275 in unsecured debt (for medical expenses, credit card debt, etc.) Those limits are adjusted based on inflation.
However, there is no limit to the amount of debt you should have to file for Chapter 7. Chapter 7 is often preferred instead of Chapter 13 because you can disregard your debt without repayment. It is not as restricting as Chapter 13 and you may qualify with large sums of debt. Corporations can not qualify for Chapter 7, only individuals. There are income guidelines that will regulate whether or not you qualify to file for bankruptcy with Chapter 7.
We understand that figuring out which type of bankruptcy is best suited for your needs and situation is stressful. Out team at Patton & Dean, LLC is here to help you figure out your best possible options when filing for bankruptcy. Give us a call today for a review of your case and to schedule a consultation appointment!
The bankruptcy firm of Patton & Dean, LLC has helped thousands of individuals and families in Lenexa, Kansas City, and Lee's Summit, and the surrounding communities determine their best course of action when filing for bankruptcy, complete the filing process, and repair and rebuild their credit afterward, and consumer protection cases. Nearly every interaction clients have with the firm is one-on-one with their attorney. Call Patton & Dean, LLC today for a free case review.
Kansas Bankruptcy Exemptions
Are you considering filing for bankruptcy in the state of Kansas? If so, there are specific exemptions that must be considered before you do so. The exemptions include the following:
- Homestead Exemption: Homeowners are allowed to protect unlimited value for their homes when filing.
- Motor Vehicle Exemption: Consumers are allowed to protect up to $20,000 in equity for their vehicle when filing.
- Jewelry Exemption: Individuals are allowed to protect up to $1,000 in jewelry when filing for Chapter 7.
- Life Insurance Exemption: No limit, only if purchased a year before filling.
We understand the bankruptcy process can be perplexing, the Lenexa bankruptcy lawyers at Patton & Dean, LLC are here to help guide you through the process. Call us today for a free consultation!
How Will Filing for Bankruptcy Affect my Credit?
It's important to realize upfront that bankruptcy will affect your credit, especially in the short term. Yet by managing the process well from the beginning and setting some realistic expectations, you can take steps on a path to restoring and even improving your credit in the long term. It's also important to realize that doing nothing and repeating past mistakes will leave you and your credit in even worse shape over the long term. Bankruptcy can be a time to rebuild and is a perfect time to learn from those past mistakes.
Impact to Credit Score
When you file for bankruptcy, your case is reflected in the public record section of your credit report. Chapter 13 remains in the public record section for seven years, Chapter 7 for ten years. As time passes, it will hurt less. However, initially, your credit score will take a hit. There is no standard amount that your credit score will drop. It will depend on many factors: the status of your credit prior to the bankruptcy, the amount of the debts covered by your bankruptcy filing, and the number of accounts included in your bankruptcy.
Which is Better, Chapter 13 or Chapter 7?
Generally, the specific type of bankruptcy you're entering — Chapter 7 vs. Chapter 13 — will not factor into a reduced credit score: BOTH will cause it to go down. However, down the road, a potential lender or creditor may take note of which type of bankruptcy filing you used and how the process played out. In this case, a person who entered Chapter 13 bankruptcy and successfully repaid debts under a payment plan may appear as less of a risk than a Chapter 7 filer whose debts were wiped out.
There are many factors a lender uses to determine whether or not to lend you money. The more recent one has a derogatory mark (delinquent payment) on their report, the more unlikely they are to receive. One immediate benefit to your credit history is that upon the filing of a bankruptcy, each individual credit account, called tradelines, must cease negative reporting. This puts a stop to the ongoing damage created by the continued reporting of delinquent accounts. Further, your balances and past due amounts should be zeroed out. While your credit score will suffer initially, both your credit history and debt ratio will improve.
“Ryan and David both were very personable as well as professional.” - Deana
“This team of attorneys has gone out of their way to help me” - Jeffery B.
“Very grateful.” - Carlos I.
While bankruptcy may cause a disruption in your personal finances and limit some of your short-term options, it's important to recognize that opportunities also exist for you to begin repairing your credit and putting yourself in a better financial footing.
For credit accounts that are not part of a bankruptcy filing, continuing to make on-time payments and maintaining low balances (usually 25% or less of the available balance) will keep those accounts in good standing and avoid further damage to your credit score. These accounts may include store credit cards or even gas station card accounts.
For those in Chapter 13 bankruptcy, making on-time payments to your payment plan is critical to your success in the bankruptcy process. It will reduce your overall debts and indicate to creditors and lenders that you are working to correct your past mistakes.
Our firm is here to educate and empower you so that your rights are respected and enforced. Patton & Dean attorneys will work directly with you to identify and remove any inaccurate information from credit reports and to end illegal harassment from creditors and debt collectors. We will be with you from the beginning until you are back on your financial feet. And we will be in your corner when creditors and debt collectors cross the line.
We are easy to get ahold of, and you can always expect an attorney — not a paralegal or secretary — to return your phone calls. We will work directly with you through each step of the process. We offer free consultations and no-money-down bankruptcy options for those who qualify. Get started for a fresh financial start.