**SPONSORED CONTENT BY ALDRED LAW FIRM**

Most families should not use their tax refund to reduce or pay off one or even a couple of debts when they can wisely use that tax refund to obtain Court Protection From all their Creditors. Paying down one or two debts does not provide a lasting solution to unmanageable debt. Protection from wage garnishment, repossession of vehicles and even protection from a lawsuit can be obtained through filing a bankruptcy in a Chapter 13 Petition or a Chapter 7 Petition. General Motors (GM) successfully did this and you can do this too. Look what a success it was for them.

The protections under each Petition are similar, but not identical. Under both Petitions all debt collections are suspended except for domestic support obligations. A married couple with a minor child can exempt $50,000.00 as homestead (home) and an additional $20,000.00 in a combination of cash, cars, and personal items through personal property exemptions in a Chapter 7. In a Chapter 13 you can keep virtually all of your property, catch up missed payments on a home, and even slow pay back taxes to the IRS.

When your Petition is filed a STAY goes into effect. This Stay stops all lawsuits, foreclosures, wage garnishments and every other type of debt collection activity. Phone calls from bill collectors must stop! The Stay becomes effective the instant the lawyer files the Petition. In a Chapter 13 any repayment of unsecured debt like credit cards is at little or no interest instead of the 20% or more you are currently paying.

A Chapter 13 differs from a Chapter 7 in that a Chapter 13 is for wage earners with income too high for a Chapter 7 who have property that is not exempt to protect or excess monthly income.

To get started, do 3 simple things. First get a copy of your tax return for the past 2 years. Second copy your wage statements for the past 6 months. Next make a detailed list of everybody you owe money to including their addresses noting secured debt such as vehicles and your home, which you may want to keep.

Now you are ready to complete a Bankruptcy Questionnaire. This evaluation is free and you are preparing to manage that debt. The cost to file will depend on the type of Petition you filed. Most of the expense of a Chapter 13 wage earner Petition can be paid through the Court repayment plan. You are probably using money you would otherwise pay on a credit card interest for the cost of the bankruptcy.

Allan Thompson
Aldred Law Firm
221 South Second Street
Clarksville, TN 37040
(931)648-9619
www.ClarksvilleBankruptcyLawyer.com
DebtReliefHelp@bellsouth.net