debt relief lawyer

You May Not Have to Liquidate Your Retirement Accounts

If you are facing pressure from your creditors, you might have a unique opportunity to pay back debt without liquidating retirement accounts. After filing for bankruptcy, all retirement funds like 401ks, 403bs, and college fund IRAs are safe from creditors. Filing for bankruptcy can help to protect your future. To learn more, it’s in your best interests to contact an experienced debt relief attorneys Portland OR.

A Common Scenario

One of the saddest situations I see is people who want to file for bankruptcy after they’ve liquidated their retirement accounts. In desperation to pay off their debts, they use the money from retirement accounts to pay off their creditors. But then tax season comes. The taxes imposed on the withdrawal from retirement accounts is too much to bear and that’s when they realize they need protection under bankruptcy. Unfortunately, bankruptcy doesn’t do much to relieve tax debt.

To make matters even worse, now that the retirement funds are liquidated, the cash on hand isn’t protected from creditors. They can garnish nearly a