Chapter 7 bankruptcy allows a filer to discharge – or eliminate – unsecured debt such as credit card debt, medical bills and deficiency balances due to auto repossession. In order to be eligible, individuals must pass a means test.
Chapter 13 is often referred to as reorganization bankruptcy because it allows debtors to create a payment plan that reorganizes their debt. Payment plans are based on income instead of assets and are usually spread out over three to five years.
Bankruptcy Lawyer | Tips for Avoiding Debt Bankruptcy Lawyer . The best way to avoid never-ending pressure from creditors to repay overdue bills is to not let the bills become overdue in the first place — or better yet, to avoid getting into debt at all (to the...read more
Bankruptcy Attorney | Which Debt to Pay Off First Bankruptcy Attorney . Congratulations! The decision to pay down your debt is a great first step toward getting your finances under control. However, it’s important to prioritize which debts you pay first. Debts...read more
Bankruptcy Lawyer | How Chapter 13 Works Bankruptcy Lawyer . In Chapter 13 bankruptcy, you keep your property, but pay back all or a portion of your debts over a three to five-year period. This is unlike Chapter 7 bankruptcy, where most of your debts are cancelled but...read more