What is Bankruptcy? Federal law provides different methods for a person or business to either discharge or consolidate debt. For the average individual, the options for filing bankruptcy are known as “Chapter 7” and “Chapter 13.” When you file either type of bankruptcy, the Court grants you the protection of the Automatic Stay. The stay immediately stops all creditor collection efforts including phone calls, letters, lawsuits, wage garnishments, and foreclosure proceedings.
Chapter 7: This is a “liquidation” or “fresh start” bankruptcy. When you file Chapter 7, you can discharge (get rid of) many types of unsecured debt. This includes debt for credit cards, medical bills, personal loans, and collection accounts. In most Chapter 7 cases, you can keep all of your property, including your house and your car. In order to be eligible to file Chapter 7, it must have been at least eight years since your last Chapter 7 case and you also have to be under a certain income level based on your household size. Our attorneys can help you find out if Chapter 7 is right for you. To schedule a free consultation to discuss filing Chapter 7, pleaseCONTACT US
Chapter 13: This is a repayment plan that allows you to propose a plan to repay all or a part of your debt. It can be compared to a consolidation plan, but the law provides for many benefits over a typical credit counseling consolidation service. Chapter 13 can help catch up a mortgage payment or delinquent car loan and many Chapter 13 plans allow for a discharge of most unsecured debt as well. To schedule a free consultation to discuss filing Chapter 7, pleaseCONTACT US
Chapter 7 Bankruptcy
This “fresh start” option can be used to eliminate unsecured debt, while allowing you to retain personal and household property, and in most cases, your home and car.
Chapter 13 Bankruptcy
A Chapter 13 repayment plan allows you to propose a plan to repay some or all of your debt over a period of three to five years. A Chapter 13 can help you keep your home or car even if you are behind on your payments and facing foreclosure or repossession.
Small business Bankruptcy
If your business is suffering due to debt problems, bankruptcy might be the right option for you. There are many factors that must be weighed when considering whether or not to file for small business bankruptcy. Our lawyers will thoroughly review your situation to help you determine if filing for Chapter 7 bankruptcy is right for you and your business.
Divorce And Bankruptcy
Divorce and debt problems often go hand in hand, and many people file for bankruptcy prior to or after a divorce. If you are struggling with debt problems and facing divorce, it is important to consult with an experienced attorney who knows how these two areas of law intersect.
Whether creditors and credit agencies supply and post incorrect credit information accidentally, or creditors report incorrect information deliberately, your credit score can be damaged significantly. Problems can include difficulty acquiring loans and the need to pay higher interest rates.We will offer guidance in the steps you can take to work on rebuilding your credit following bankruptcy
Filing for bankruptcy is a momentous act that should be handled with care and attention to detail. Before you file for bankruptcy, it is important to take every possible legal step to protect assets and ensure a healthy post-bankruptcy future.
What Can Bankruptcy Do For You?
Filing bankruptcy can give you protection from your creditors and can give you the opportunity to discharge your debt.