Bankruptcy is a common occurrence in the United States, and in the state of Iowa, the total bankruptcy filings exceeds more than 11,000 each year as businesses and individuals find themselves in an impossible financial situation that they just cannot get out of without some sort of legal help. Bankruptcy protection may be the answer these individuals or businesses are looking for to get debt relief -- but is it the best answer?

Bankruptcy can be defined as the legal inability to pay debts or the state of having been legally declared bankrupt. Obtaining bankruptcy protection can be a grueling process and because bankruptcy laws can be complicated, due to the many different types of bankruptcy, it is highly recommended that you hire a bankruptcy lawyer or attorney to help you with your case – especially if you own a business and have valuable assets.

An Iowa bankruptcy lawyer or attorney will be well-versed in Iowa bankruptcy laws including statutes, codes, and exemption laws, and they will discuss the different types of bankruptcy with you and advise you on which one is best for your situation. These include: chapter 7, chapter 11, and chapter 13 (the most common types), and chapter 9, chapter 12, and chapter 15 (less common).

Once an Iowa bankruptcy lawyer or attorney has explained your options, they will oversee your case, beginning to end. In some situations, the individual or business will go before an Iowa judge and work out (and agree to) a payment plan. Or, they will have a partial or full discharge of most debt. In some cases, all debts are discharged. If this seems too good to be true, you are correct – it is. If you file for bankruptcy in the state of Iowa, your debts will be discharged, but your credit will be ruined, and in most cases, for up to 10 years. A bankruptcy lawyer or attorney will explain the risks as well as offer other possible alternatives to bankruptcy. Keep in mind that a bankruptcy lawyer or attorney will also (or should) have extensive knowledge about debt management.

If you are ready to contact an Iowa bankruptcy lawyer or attorney to explore your options for debt relief, visit the American Bar Association ( ABA ) website. The ABA features a lawyer locator, which allows the user to search bankruptcy lawyer profiles in Iowa. Access to the site and profiles is absolutely free.