Bankruptcy

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Chapter 7 bankruptcy is designed to wipe out unsecured debt quickly for individuals who cannot realistically repay what they owe.

Key Features of Chapter 7:

• Eliminates credit card debts, medical bills, personal loans, and similar unsecured debts
• No repayment plan required
• Most cases last only a few months
• Immediate relief from collection calls, lawsuits, and wage garnishment
• Most filers keep all or most of their property using exemption laws

Chapter 7 is Usually Best For:

• Individuals with limited income
• People overwhelmed by unsecured debt
• Those who do not own significant non‑exempt assets
• Debtors who want a fast financial reset

Chapter 13 bankruptcy helps individuals with regular income catch up on debts over time while protecting valuable property like a home or car.
 

Key Features of Chapter 13: 

• Combines debt into one manageable monthly payment
• Stops foreclosure and allows you to catch up on missed mortgage payments
• Stops repossession and spreads car payment arrears over time
• Allows higher‑income earners to get bankruptcy protection
• Some unsecured debt may be discharged after completing the plan

Chapter 13 is Usually Best For:

• Homeowners behind on mortgage payments
• Individuals with steady income who can afford monthly payments
• People who do not qualify for Chapter 7
• Those who want to protect non‑exempt property

Because every financial situation is unique, speaking with an experienced attorney is the best way to determine if filing bankruptcy is right for you.

Choosing to file either Chapter 7 or Chapter 13 bankruptcy is a major decision that can shape your financial future. While bankruptcy does affect credit, many people see improvement sooner than expected because overwhelming debt is eliminated or controlled, allowing for on‑time payments and financial stability. 

An experienced bankruptcy lawyer can review your income, assets, and debts and help you choose the best path forward. 

Contact our office today for a confidential consultation and learn whether bankruptcy may be right for you.