Posts Tagged ‘Chapter 7 bankruptcy attorney’

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5 Reasons You Should Hire a Lawyer Before Filing Bankruptcy

Friday, May 7th, 2010

Whether you’ve lost a home or lost a job, whether you have immense medical bills or a mortgage you’re falling behind on, bankruptcy can help. It has many advantages over 1) doing nothing and 2) trying to save your home on your own through creditors.

What does that mean? Say for example you are falling behind on mortgage payments; you decide to do nothing, hoping it will work itself out. This isn’t a trial case, as by doing nothing you risk losing everything. Since bankruptcy can be complex, and since it has many advantages, you should consider hiring a lawyer prior to making any decisions.

If you try to save your own home by yourself, you might run into difficulty navigating laws. Let’s use these as the first reasons you should hire a lawyer before filing bankruptcy.

Do Nothing or Do Something and Benefit
You can avoid filing bankruptcy, of course. There are alternatives to bankruptcy, but this post isn’t about negotiating with creditors; it’s about getting a fresh start financially. If you do nothing sometimes it will work out. Your reasons for doing nothing can be many, but the disadvantages are too great. If you do nothing, you could lose your home to the lender and your car to the repo-man. If you hire a lawyer immediately, you actually save time and money.

Saving Your Home from Foreclosure
Did you know that if you way too long to file for bankruptcy, you could lose your home? If you fall behind in payments you should talk with a lawyer. And note Chapter 7 bankruptcy, which will absolve you of the debt, will often force your trustee to sell the home to pay back your debts. Chapter 13 bankruptcy is the alternative. An experienced lawyer can walk  you through the steps and help you save your home with Chapter 13.

Before Filing Chapter 13 Bankruptcy
Before you file bankruptcy, you should consider all your options. Chapter 13 bankruptcy is not for everyone. It does have distinct advantages — saving your assets from foreclosure the biggest. An experienced lawyer can save all your assets if you hire him/her before it’s too late. They can advise you on how to navigate the laws.

When Chapter 7 Bankruptcy Works
Chapter 7 bankruptcy has advantages too. Before filing, you should be aware of laws such as exempt and nonexempt properties. Some property you can keep, some property you might lose. But what can you save? An experienced bankruptcy lawyer can explain and help on how to save the most property and how to eliminate the most debt.

Peace of Mind
It may sound minor, but peace of mind may be the best benefit of hiring a lawyer before you go into bankruptcy proceedings. It’s not impossible to do everything yourself, but in most situations hiring a lawyer saves you time, money, and headaches.

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How Long Does Bankruptcy Last? Notes on Personal Bankruptcy Chapter 7 and Chapter 13

Monday, April 19th, 2010

Bankruptcy gives you a fresh start financially. But it’s not for everyone.

So when should you file for bankruptcy?

There are many theories posted online about this subject, but keep in mind few bankruptcies are exactly the same. In some cases, you might be trying to save the home you spent your life paying for. In other cases, you may have fallen into debt due to a medical condition. Even simple credit card overspending, or less than simple job loss, can lead to bankruptcy

Bankruptcy does have advantages, especially when you consider personal Chapter 7 and Chapter 13 bankruptcy. Filing for bankruptcy is not about giving up; it’s about reworking your finances so you can get a second chance.

The question posed in the title–how long does it take to file bankruptcy–is easier to answer than why you should file.

The process for Chapter 7 bankruptcy typically only lasts 3-4 months. You hire an attorney, file with the courts, get a trustee who liquidates your nonexempt assets, and then you are for the most part free of creditor harassment, demanding letters from the bank, and huge interest rates on your credit card debt. Still, Chapter 7 bankruptcy should only be used in certain cases: in some respects, it’s the best form of bankruptcy available; but in others, you might lose many of your assets such as your car and home. It depends on what assets will be exempt and nonexempt. For instance, you cannot cancel mortgage debt, so this won’t save your home from foreclosure. You can eliminate the majority of your debt, especially credit card debt.

Before Chapter 7 bankruptcy begins, hire a professional bankruptcy attorney to look over your case. As you’ll have to follow court guidelines such as taking debt management classes and showing your income and debt.

Chapter 13 bankruptcy typically lasts 3-5 years. You hire an attorney, file with the court, create a plan to pay back your debt over this period, and hopefully at the end you’re back on your feet. If you still have an income, can pay monthly expenses, and follow court guidelines, you will be better off financially within a few years. Many debtors who make enough money are now being told by courts to file for Chapter 13 bankruptcy; this is because Chapter 7 bankruptcy involving canceling credit card debt is much more common.

So we know how long Chapter 7 and Chapter 13 bankruptcy take. How long should it take for you to get a fresh start? If you have to file bankruptcy again, can you? Getting financially solvent is another complicated question, but with the right plan, with the advantages of bankruptcy, you can. However, this bankruptcy will remain on your credit report for 10 years, which can limit your spending.

You can file for Chapter 7 or Chapter 13 bankruptcy again after six years time has passed. At this point, it may seem like you can never get your finances in order. However, a good bankruptcy attorney can help you beyond the court room: he or she can also help you stop creditor harassment.

The advantages of bankruptcy are many, the time it takes most often a few months or a few years, and the costs small in comparison to what you gain. If you’re interested in filing for bankruptcy, if you want a fresh start, contact a good bankruptcy attorney today.

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Bankruptcy Decisions – When it Makes Sense to File for Chapter 7 or Chapter 13 Bankruptcy

Monday, March 29th, 2010

It’s often depressing to look at your finances, see you’re in debt over your head, and admit you have to file bankruptcy. While in many cases alternatives to bankruptcy do exist, whether it’s Chapter 7 or Chapter 13 personal bankruptcy, it’s often clear filing bankruptcy is your best option. Does that mean your house will go into foreclosure? How bad will it be?

In many cases, filing bankruptcy is a logical, if somewhat scary decision you make when you’re out of options. If you are financially in trouble when it comes to your home, job, health insurance, and credit card debt, filing bankruptcy is wise.

This needs to be said because many individuals and families struggle for far too long before they admit they need to file Chapter 7 or Chapter 13 bankruptcy. It’s almost considered giving up. By the time you do make the decision, you’ve lost a lot already and you’re worse than you would have been if you’d made the decision earlier. That goes against why bankruptcy was created–for helping individuals rebound from tough economic times, joblessness, and outstanding debts.

So when do you make the decision? Instead of blaming yourself, file early and take advantage of the law. “You can use Chapter 7, the most popular type, only once in eight years, so draw up a ‘no kidding’ plan for living on your income when you’re finally clear,” says Jane Bryant Quinn for Newsweek.

When to file Chapter 7 or Chapter 13 bankruptcy:
-When you still have assets to protect but you’re financially stuck
-Before you decide to pay back huge bills
-When tap IRAs and 401(k)s
-When you have outstanding medical bills (which can be canceled by bankruptcy)

Speaking of IRAs and 401Ks, you should never use these as an alternative to filing bankruptcy. After all, these are your future, and are meant to provide for you later, not now. These are mainly protected by bankruptcy, so ask your bankruptcy attorney about them.

Never wait for medical treatment–dental, eye, or otherwise–because you are out of money. These can be part of your Chapter 7 bankruptcy filing, or paid back in a reasonable amount of time with Chapter 13 bankruptcy.

Since you can use Chapter 7 bankruptcy once every 8 years, it’s a clear alternative to tapping into funds your future depends on.

So how do you make the decision between Chapter 7 and Chapter 13 bankruptcy? With new bankruptcy laws, Chapter 7 bankruptcy is off the table for many. Now, people are being told to file for Chapter 13 bankruptcy. In short, Chapter 7 bankruptcy clears the majority of your debt, from mortgages, to medical bills, to credit cards. There are some nonexempt items which you may lose here.

Chapter 13 bankruptcy is less about canceling debt and  more about creating a longer time frame for repayment. If you make too much money, you may be forced to file Chapter 13 bankruptcy instead of Chapter 7.

Choosing between the two calls for 1) research and 2) professional counsel. Hiring a professional bankruptcy attorney ensures your financial future will be safe.

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How Bankruptcy Can Eliminate Tax Debt

Friday, March 26th, 2010

If you’ve fallen behind in tax payments and have no chance of paying back the debt, it used to be you had few options. However, with the bankruptcy laws changing in recent years, you can now eliminate tax debt anywhere in the US with Chapter 7 bankruptcy. And with Chapter 13 bankruptcy you can pay in installments.

There is some fine print to those statements. The best thing you can do is a contact a professional bankruptcy attorney in your state who can consult with you on options. A bankruptcy attorney can tell you restrictions and requirements on eliminating tax debt by filing Chapter 7 bankruptcy. The attorney can also explain how Chapter 13 bankruptcy is now much more common than ever before.

Let’s go over the 5 requirements you have to meet in order to eliminate tax debt.

1-Your tax return must have been due at least three years ago. That means, if you file behind one year or two years ago, you cannot get the tax debt discharged yet.

2-The return then must have been filed at least two years ago with the IRS.

3-The tax debt must have been assessed a minimum of 240 days ago. The IRS must recognize the tax debt at a minimum of 240 days ago, in other words.  So if you file for bankruptcy and want the tax debt eliminated, the debt needs to have been present for 240 days or longer, and the IRS must have in some way recognized this debt.

4-The tax return itself must be completely truthful. If there are errors, intended or not, the tax return is fraudulent in many respects, and the debt cannot be discharged.

5-Last, you cannot be guilty of tax evasion.

As you can see it can get complicated. However, in a nutshell, all you really have to worry about is the time frame, that the  IRS recognizes the debt, that the tax return is correct, and you’re not guilty of tax evasion. That likely keeps most options on the table.

What a Bankruptcy Attorney Can Do
There are some more footnotes to this discussion.  You should at a minimum consult with bankruptcy attorneys. While it’s true you can discharge your tax debt completely with Chapter 7 bankruptcy, in some cases home owners may have to pay back in other ways. This is because you cannot discharge a federal tax debt. If the IRS reported a tax lien on your home, you may have to pay back that lien before you can sell it.

A professional bankruptcy attorney knows how to handle not only situations in the courtroom, but all the paperwork involved in handling back taxes. This can be quite complex. You may try and do it yourself, but a few mistakes and you may be in trouble.

But if you successfully file Chapter 7 bankruptcy, you can expect major debts to be eliminated. If you file for chapter 13 bankruptcy, debts like taxes can be paid over a more reasonable time frame. Choosing between the two is a discussion between you and your bankruptcy attorney.

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Is Filing California Bankruptcy Right for You?

Tuesday, March 23rd, 2010

Deciding if California bankruptcy is right for you is clearly one of the biggest financial decisions of your life. While bankruptcy can solve many problems, it’s not the only alternative. There are many other ways to get control of your finances.

You can learn more by hiring a professional California bankruptcy attorney to go over your case. Even a brief consultation with a lawyer could save you a lot of headaches.

Before deciding if bankruptcy is right for you, let’s go over the bankruptcy basics.

For individuals, you’re going to be filing Chapter 7 or Chapter 13 bankruptcy. Chapter 7 bankrupt has for years been the more popular one, but new bankruptcy code has made it difficult for many to file under Chapter 7 in California and across the nation. Now, Chapter 13 bankruptcy is often advised.

Chapter 7 bankrupt liquidates your assets, clears you of most debts, and does so within a matter of months. Chapter 13 bankruptcy pays back assets over time, and you usually don’t lose much if anything as long as you stay with the repayment plan. If you feel you cannot pay back outstanding debts, Chapter 7 bankruptcy is wise. If you don’t want to lose your home and have income coming in regularly, get with a Chapter 13 bankruptcy attorney who can go over the advantages of Chapter 13 bankruptcy.

Now let’s go over the decision making process of California bankruptcy.

Alternatives
There are many alternatives to actually filing bankruptcy, including working with debt counseling agencies. This is another point where professional counsel is valuable. You often have more options than you think.

Limits on Bankruptcy
Did you know that if you have enough income, you may be forced to file Chapter 13 bankruptcy? That’s what was alluded to earlier: sometimes you are forced away from Chapter 7. On the other hand, if you wanted to save your house or car, you might think Chapter 13 is the way to go. If your debts are too high and your income too low, you will likely have trouble filing. These are things you should really study as filing bankruptcy is not usually a quick fix.

Debts Canceled
Not all debts will be canceled, even if you file Chapter 7 bankruptcy. Some debts can be canceled but do not limit what the creditor can do to take back property. This is a called a secured debt, and  some items can be lost.

Credit Cards
There are many good things about filing bankruptcy, especially in times when you feel debts are piling up. You can, for example, wipe your credit card debts by filing Chapter 7 bankruptcy. This is perhaps the biggest benefit of filing bankruptcy, as credit card debts and interest rates sometimes only grow.

Keep All Your Property
One big advantage of Chapter 13 bankruptcy is the options you have the time you can buy. For instance, you might be falling behind on house payments, have other outstanding debts, but have a good job about to start. You might be able to pay back all these debts, including your house payments, over an extended period of time. Chapter 13 bankruptcy typically gives you 3-5 years to pay these back. If you love your home, and would do anything to keep it, Chapter 13 bankruptcy is a good option.

Personal Life
Filing California bankruptcy is a way to clear debts, save property, and give you a fresh start. However, it will not make all your problems go away, nor will it be easy to file for. The best thing you can do is hire a California bankruptcy attorney who can help.

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How to File Chapter 13 Bankruptcy in San Diego

Thursday, March 11th, 2010

The news is bad. You might lose your home through foreclosure, or you lost your job, or a loved one was in the hospital and the bills are piling up.

It doesn’t always work out that way, as each person’s reasons for filing any kind of bankruptcy are rarely the same. There are ways to 1) buy yourself some added time to pay back bills and 2) save your home from foreclosure. It’s file for Chapter 7 in San Diego, right?

That’s a decision this guide is going to help you make, along with how to file for Chapter 13 bankruptcy. If at the end of this post you think Chapter 7 bankruptcy is your only option, it’s time to call a professional bankruptcy attorney in San Diego. If you feel Chapter 13 bankruptcy is best, hiring professional bankruptcy lawyers is just as important.

Choosing Between Chapter 7 and Chapter 13 Bankruptcy in San Diego
This blog goes over these topics a lot, but all you need to know is where you’re at financially. If you face foreclosure of your home and want to keep it, filing for Chapter 13 bankruptcy in San Diego buys you years to pay back debts in installments and keep your home. If you feel you need to be rid of all your debts immediately, that 3-5 years just isn’t enough, filing for Chapter 7 bankruptcy in San Diego may be the best choice.

How  to File for Chapter 13 Bankruptcy
You file a petition with the bankruptcy court in the San Diego area where you reside.

You must file, according to the US Courts: “a schedule of assets and liabilities;  schedule of current income and expenditures;  a schedule of executory contracts and unexpired leases; and a statement of financial affairs.

There is more to it than that, because after you must also file a certificate of credit counseling and a copy of a debt repayment plan you created through credit counseling. That means you need to show the court proof you’re actively working on creating a feasible budget to pay back assets, as no debts are being eliminated.

Next, you need to show evidence of payment from employers if you have any, within 60 days before filing. The last three steps are to show a statement of monthly net income,  note any expected increase in income, and any records you have in Federal or California (or your state) education accounts.

The Next Steps in Filing for Bankruptcy
There are more steps. The problem with filing Chapter 13 bankruptcy by yourself becomes clear here. It can be done and has been done, but hiring professional bankruptcy attorneys in San Diego can save you from making mistakes in documentation and at the hearing.

So you need to follow these steps too.
-Create a list of credits, debt amounts, and nature of their claims
-The source, amount, and frequency of your income
-A list of all your property, such as homes and vehicles
-A detailed list of all your monthly living expenses, from food to rent

Hire Professional Bankruptcy Attorneys in San Diego
Filing Chapter 13 bankruptcy is now more common than ever, though still most debtors try to file Chapter 7 bankruptcy, a liquidation. How to choose between types of bankruptcy, how to file all documentation, and how to handle creditors are all complex tasks. With the right bankruptcy lawyer in the San Diego area, you can focus on the future instead of the past.

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6 Things You Need to Know About Chapter 7 Bankruptcy Discharge

Monday, March 8th, 2010

You get a fresh start with bankruptcy, but as with most court cases, there’s fine print you must know.

Chapter 7 bankruptcy is essentially a fresh start financially. Typically, most debts are discharged, you’re given a chance to get back on your feet, and you won’t be harassed by creditors.

However, there is the “fine print” part to a Chapter 7 bankruptcy hearing. This article highlights 6 things you need to know about Chapter 7 bankruptcy discharge. Professional counsel, a bankruptcy attorney in your area, can help with more than documentation and filing: they can also explain all the fine print in simple language.

1-What Discharge Means for Liability and Creditors
A Chapter 7 bankruptcy discharge releases you the debtor from liability for most of your debts, while also stopping collections against you by creditors. If you owe a creditor a large amount of money, they may still get some money, but only via the trustee selling nonexempt assets you have. They will have no basis for collecting past debts.

2-What Debts are Discharged
Typically, you need to talk with professional bankruptcy attorneys to help you with this part of Chapter 7 discharge. You can expect the majority of your debts to be discharged, but some of your assets may be too valuable and could be sold. For instance, if you live alone in your home valued well over $100,000, you lose it. There are ways around that, especially if you work with professional bankruptcy attorneys.

3-How Fast the Discharge Occurs
You can expect a fast discharge in most cases unless a party of interest–someone you owe money–objects to the discharge. This process is usually 60-90 days after filing Chapter 7 bankruptcy and meeting with the court.

4-Grounds for Rejection of Chapter 7 Bankruptcy
You can be rejected for discharge in Chapter 7 bankruptcy via a variety of means, depending on your particular situation. If you, for instance, failed to keep adequate financial records, couldn’t explain your loss of assets, or committed perjury, you can be denied discharge.

5-Secured Creditors
Secured creditors may still have the right to seize property in some cases. This is where counsel is most important. It gets complicated, but if you bought a car and made an outside agreement that you wanted to keep it, you could make payments on the debt. The creditor would have the right to repossess the car if you failed to make payments, even with the discharge.

6-What Debts Aren’t Discharged
You can’t be discharged of all outstanding debts. This includes alimony, child support, some taxes, debts for education or loans, debts for death or personal injury causes by by your motor vehicle, debts for injury to another person, and others.

As you can see, there’s a lot more that goes on in and out of the courtroom when it comes to certain laws involving Chapter 7 bankruptcy discharge. The best thing you can do is hire a professional Chapter 7 bankruptcy attorney in your state who can clear up all the fine print, protect you from failing to meet requirements, and help you get a fresh start.

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Steps Toward Filing Chapter 7 Bankruptcy in Las Vegas

Friday, March 5th, 2010

Chapter 7 bankruptcy is also called “liquidation,” where a debtor will have a trustee sell nonexempt property to pay back outstanding debts. For example, you might lose your car or home if they are valued over a certain amount, because exemptions are based on value.

The background on Chapter 7 bankruptcy provides a good beginning for understanding the steps toward filing. As stated, the bankruptcy trustee will sell assets to pay back the creditors as followed by bankruptcy code. However, you can keep certain property, even homes and cars, as long as they are below certain levels of value. You can buy back certain property if you get the funds, so even losing a car or home does not mean you lost it forever.

Chapter 13 bankruptcy, on the other hand, is a repayment plan of paying back debtors over a period of time.

In filing for chapter 7 bankruptcy, you must be sure you’re eligible to do so, and if Chapter 7 or Chapter 13 is ight for you. Professional bankruptcy attorneys in Las Vegas can do just that for you. But not all bankruptcy attorneys are equal; hire one you can afford, can trust, and who’ll work hard to help your future.

Eligibility for Chapter 7 Bankruptcy in Las Vegas

The debtor has rights in Chapter 7 bankruptcy, as protected under the Bankruptcy Code. You must only be an individual, partnership, corporation, or other business entity. No matter how large your debt is, you have the right to file for Chapter 7 bankruptcy in Las Vegas. It does not matter how much you owe, if you’re solvent or not solvent, or who you owe money to.

There are some rules professional bankruptcy attorneys can go over with you. For example, if you filed a prior bankruptcy petition in the last 180 and failed to appear in court or comply with the court, you are not eligible. You also must go to an approved credit counseling agency within 180 days before filing.

Steps Toward Filing Chapter 7 Bankruptcy

As you can see, bankruptcy is a fair process designed to give you a fresh start. It may seem simple or rather complex, but in either case hiring bankruptcy lawyers in Las Vegas or any state is a wise decision.

Let’s go over some of the steps of filing.

First, you file a petition with the bankruptcy court where you or your business reside.

You must file other items with the court
-Schedules of assets and liabilities
-Schedule of current income
-Statement of financial affairs
-Lastly, a schedule of executory contracts and unexpired leases

Debtors must also provide your most recent tax return.

If you are an individual with mainly consumer debts you must also file a certificate of credit counseling along with a copy of the debt repayment plan developed, evidence of payment from employers, and a statement of monthly net income.

There are many other intricacies just in getting the documentation right. It doesn’t matter whether you have a job or not, often you cannot do this by yourself. Hiring counsel, professional bankruptcy attorneys, can help you with all the basic steps of filing successfully for Chapter 7 bankruptcy in Las Vegas.

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Basic Rules on Exempt and Nonexempt Property When Filing Bankruptcy in New York

Thursday, March 4th, 2010

If you’re filing Chapter 7 or Chapter 13 bankruptcy in New York or any state in the US, there are some basic rules of law and thumb you should follow. After all, your financial future is at stake. If you make mistakes, the process can drag on, fees will go up, and property will be lost. It’s not meant to scare you, but everything from documentation to planning need to be good.

Your best bet is professional counsel, bankruptcy attorneys specializing in Chapter 7 and Chapter 13 cases in New York.

So why include Chapter 13? Technically, you may not lose any property. Chapter 13 bankruptcy in New York buys you time to pay back debts over 3-5 years in monthly installments. However, if you fail to pay, you may lose property.

Chapter 7 bankruptcy is the most common bankruptcy form used. Let’s go over the basics of what Chapter 7 bankruptcy is in New York, and then go over exempt and nonexempt property.

What is Chapter 7 Bankruptcy?

It’s a liquidation proceeding. You are discharging debts, giving property to a trustee, and paying back what you can. It’s a fresh start for you economically. So why a trustee? Technically, your creditors still have rights to some of your property. Your property can be used to pay them back in some cases. The good news is you have the option of buying back property from the trustee after you lose it.

Exempt Property in Chapter 7 Bankruptcy

There are many exemptions which work to your benefit, namely big items like homes and cars. What’s exempt depends on the price of your items. The more it’s worth, the more chance you may lose it after filing Chapter 7 bankruptcy in New York. If, for example, you are single and own a home valued over $100,000, that property is not exempt. Most states in the US draw the line around $100,000 for both families and individuals, sometimes even if your retired or disabled. If you are retired or disabled, you have a better chance of keeping valuable property.

One benefit of hiring bankruptcy attorneys in New York is the expertise you receive for the process. For example, tax refunds and earned income credits are not exempt. However, the time at which you file for Chapter 7 bankruptcy comes into effect here–you may be able to keep these if you file later.

There are other ways to save money on nonexempt property. If you have nonexempt property, you can actually sell it for items which are exempt, such as food, furniture, or clothing.

That isn’t to say you should buy an expensive couch or diamond rings, but if you’re frugal in spreading your money out you can save some of your money.

Other Rules on Exempt Property for Chapter 7 Bankruptcy

There are other rules when filing for bankruptcy you should be aware of before making big decisions. While hiring professional bankruptcy attorneys in New York is a must, be clear on what you expect and what the attorney wants in terms of fees.

You should also not try hiding money. If you give valuable property to family members of friends within 1 year of filing, you might end up losing this in bankruptcy court and being charged with a crime.

When It’s Time to File for Chapter 7 Bankruptcy in New York

Filing bankruptcy is a big decision, so don’t make all your choices alone. Hire professional bankruptcy attorneys who can walk you through documentation, exemptions, filing, and beyond.

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Why Do People File for Chapter 7 Bankruptcy in New York?

Thursday, February 25th, 2010

Since Chapter 7 bankruptcy is  the most common form of bankruptcy in the state of New York and the entire U.S., it begs some questions. Why do people file for Chapter 7 bankruptcy? What are the problems that go on?

This is important to you because it shows the general causes of filing for bankruptcy in the first place. It’s about money, of course, but often it’s through no fault of your own. Filing for Chapter 7 bankruptcy in New York is an option on the table for most everyone. It’s wise to work with professional bankruptcy attorneys in New York to see the big benefits of filing.

Clearly, filing means you lose outstanding debts, at least in Chapter 7 bankruptcy. The creditors are happy, they get paid and stop bothering you. In Chapter 13 bankruptcy, the story is different because you are buying extra time so you can pay back creditors in installments.

So is outstanding debt the most common reason people file Chapter 7 bankruptcy? That’s a broad term to use, but outstanding debt is the  prime reason for filing Chapter 7 bankruptcy in New York. But what happens before that is even more important.

The most common reasons for filing bankruptcy are:
-Unemployment
-Large medical expenses
-Overextended credit
-Marital problems
-And other large unexpected expenses

Let’s go over how you can handle each situation.

Filing for Chapter 7 Bankruptcy in New York
If you lost your job, clearly it will be hard to stay on top of monthly bills. This is one of the benefits of filing for Chapter 7 bankruptcy: you get a second chance. It’s part of the idea of helping out those in need.

Large medical expenses are another cause for worry. If you have no insurance, even with a job, a sudden accident can send you into debt. Chapter 7 bankruptcy can erase these debts, along with many other kinds.

If you have overextended credit on many possessions, and risk house foreclosure or “repo” men, filing Chapter 7 bankruptcy can save your house, car, and other major assets.

What Debt Chapter 7 Bankruptcy in  New York Eliminates
Chapter 7 bankruptcy can eliminate the majority of your outstanding debts. You will technically be paying back the debts through a trustee selling possessions. However, bankruptcy attorneys in New York can help you save your home and protect many of your most  important possessions.

The good news is most of your debt is gone after filing. Chapter 7 bankruptcy can eliminate all but these debts: child support, alimony, student loans, and income tax debt. That means the majority of your debts can be eliminated.

Bankruptcy Attorneys in New York
Chapter 7 bankruptcy should be done with help. With the new bankruptcy laws of 2009, it’s tougher to file for Chapter 7 bankruptcy. Many are now forced to file for Chapter 13 bankruptcy, which in essence only gives you more time to pay back outstanding debts. With professional counsel from bankruptcy attorneys in New York, you can save your home and car, avoid the “repo” man, and  stop creditor harassment.

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