Alabama Consumer Law Group offers compassionate and strategic representation to individuals, families, and small businesses struggling with overwhelming debt.

Formerly known as Campbell & Campbell, PC, Alabama Consumer Law Group, LLC (ACLG) has a long history of helping clients navigate complex legal issues. We understand the emotional and financial strain of debt, and our dedicated team is here to guide you through options including the bankruptcy process with empathy and expertise.

Why Choose ACLG for Bankruptcy:

  • Experienced Attorneys: Our lawyers and support staff have extensive experience handling Chapter 7, Chapter 13, Chapter 11, and Chapter 12 bankruptcy cases, ensuring you receive the best possible outcome.
  • Personalized Approach: We take the time to understand your unique situation and develop a customized strategy to achieve your financial goals, whether you’re an individual, family, or small business.
  • Compassionate Support: We recognize the challenges associated with bankruptcy and are committed to providing you with understanding and support throughout the process.
  • Clear Communication: We keep you informed every step of the way, ensuring you are fully involved in the decision-making process.

Don’t let debt hold you back. Call Alabama Consumer Law Group today to discuss your unique situation and explore how we can help you achieve financial freedom.

Types of Bankruptcy Chapters

Chapter 7 bankruptcy, also known as liquidation bankruptcy or straight bankruptcy, is designed to offer a fresh start to those overwhelmed by debt. In this process, a court-appointed trustee may sell some of your non-exempt assets to repay your creditors. Many filers don’t lose any assets, and most debts, like credit card balances, medical bills, and personal loans, can be completely discharged (eliminated).

Chapter 13 bankruptcy is a reorganization bankruptcy, sometimes referred to as debtor’s court. It allows you to create a structured repayment plan (typically 3-5 years) to pay off your debts over time under court supervision. You get to keep your assets, and if you successfully complete the plan, some remaining debts may be discharged.

Chapter 11 bankruptcy is primarily used by businesses seeking to reorganize their debts and continue operations. Individuals with substantial debts or complex assets may also sometimes utilize Chapter 11. It involves creating a reorganization plan with creditors to manage debt and become profitable again.

Chapter 12 bankruptcy is designed specifically for family farmers and fishermen with regular income. It helps them reorganize their debts and develop a repayment plan to avoid foreclosure or liquidation.

Frequently Asked Questions about Debt and Bankruptcy

Yes, filing for bankruptcy will negatively impact your credit score. However, it’s important to weigh the potential benefits against the downsides. If you’re already struggling with overwhelming debt and damaged credit, filing for bankruptcy may offer a path to financial relief and a chance to rebuild your credit over time. It’s crucial to consult a qualified bankruptcy attorney to understand the potential impact on your specific situation.

Seeking immediate legal counsel is crucial if you’re served with a lawsuit. Depending on the court and jurisdiction, you typically have 14-30 days to file a response (answer) to the lawsuit. Failure to respond can result in a default judgment being issued against you, giving the creditor legal rights to collect the debt, potentially through wage garnishment or property liens. Never ignore a lawsuit; seek professional legal guidance promptly.

A judgment grants your creditor legal rights to enforce the debt. This could include:

  • Wage garnishment: The creditor can take a portion of your paycheck to pay the debt.
  • Property liens: The creditor can place a claim on your property, potentially allowing them to sell it to recover the debt.

Filing for bankruptcy triggers the “automatic stay” provision under the Bankruptcy Code (Section 362). This protection generally prevents most creditors from contacting you about debt collection. However, consult a bankruptcy attorney to understand the limitations and potential exceptions for repeated filings.

When your debts are discharged in Chapter 7 or Chapter 13 bankruptcy, it legally releases you from your obligation to repay them. Creditors are prohibited from attempting to collect those discharged debts anymore.

Yes, filing for bankruptcy immediately halts any ongoing wage garnishment.

Filing for bankruptcy can typically prevent a foreclosure sale if your house hasn’t been foreclosed on yet. However, it’s crucial to consult with a bankruptcy attorney to understand your specific situation and explore the potential consequences of filing, as retaining your property through bankruptcy can be complex.

Remember: These are general explanations, and specific situations may vary. It’s essential to consult with a qualified bankruptcy attorney in Alabama to discuss your individual circumstances and receive personalized legal advice. They can guide you through the various bankruptcy chapters, their implications, and the best course of action for your financial well-being. Call ACLG today to discuss your options.

Additional Resources:

  • Information Required to File: Visit Information Required For Filing Bankruptcy to understand what documentation is required to file for bankruptcy.
  • Blog: Stay informed with our informative blog, covering various bankruptcy-related topics and insights.
  • Our Attorneys: Learn more about our attorneys here at ACLG.

Additional Practice Areas:

While bankruptcy is a core focus, ACLG also offers a comprehensive range of legal services, including:

  • Arbitration
  • Consumer Law Litigation
  • Personal Injury and Car Accidents
  • Probate
  • Tax Law and Planning
  • Wills, Deeds, Trusts

Call us to discuss your options and explore how ACLG can help you!