How do I know which chapter of personal bankruptcy is for me? 17 Answers as of February 22, 2011

How do I know which chapter of personal bankruptcy is for me?

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Rhonda R. Werner Schultz, PL
Rhonda R. Werner Schultz, PL | Rhonda R. Werner Schultz
You should meet with a skilled bankruptcy attorney to assess your financial picture to find which form is best for you. Factors to consider are your income from all sources, your assets and the amount and type of debts you have.
Answer Applies to: Wisconsin
Replied: 2/22/2011
William C. Gosnell, Attorney at Law
William C. Gosnell, Attorney at Law | William C. Gosnell
Chapter 7 is a clean slate. You eliminate all debt and you get a fresh start. You pay nothing. This is helpful if you don't own a house but have high credit card debt or large medical bills.

Chapter 13 is where you pay all of your creditors back over a fixed period of time and at a fixed rate out of every paycheck. This reconstitutes your debts into a more managable plan this is good if you are trying to save a house from foreclosure or to prevent repo of your car.

Chapter 11 is a business reorganization
Answer Applies to: Tennessee
Replied: 2/21/2011
Diana K. Zilko, Attorney at Law
Diana K. Zilko, Attorney at Law | Diana K. Zilko
It really depends on your income, assets, and debts. You may or may not qualify for a chapter 7. If you don't then you are left with perhaps an 11 or 13. An attorney can do a preliminary analysis to see what your options are. If you have any further questions, please let me know.
Answer Applies to: California
Replied: 2/21/2011
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
Well the best way to find out is to see a lawyer. The possibilities of which would be best are to numerous to list here. The things that must be considered are your income and your assets.
Answer Applies to: California
Replied: 2/21/2011
Greifendorff Law Offices, PC
Greifendorff Law Offices, PC | Christine Wilton
Chapter 7 is a liquidation bankruptcy where your income falls below the median income for households of your size in your area and you cannot afford to repay any of your debts.

Chapter 13 is a restructuring of your debts bankruptcy where you pay to the trustee, your disposable income for a period of 3 to 5 years and is best for homeowners looking to stop a foreclosure and save their home and for others who otherwise do not qualify under Chapter 7.

I hope this helps. Most bankruptcy lawyers offer FREE consultations
Answer Applies to: California
Replied: 2/21/2011
    Arnold & Wadsworth
    Arnold & Wadsworth | Brian Arnold
    It all depends on how much debt and assets that you have. Sometimes if you have a lot of debt and no assets then a Chapter 7 is the best way to go, but if you have a lot of assets I would consider a Chapter 13. Check out our website for more information.
    Answer Applies to: Utah
    Replied: 2/21/2011
    Law Office of L. Paul Zahn
    Law Office of L. Paul Zahn | Paul Zahn
    The best way is to meet with a bankruptcy attorney. Please contact me for a free consultation.
    Answer Applies to: California
    Replied: 2/21/2011
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    Speak with an attorney. There a lot of factors that need to be considered.
    Answer Applies to: California
    Replied: 2/21/2011
    Ferguson & Ferguson
    Ferguson & Ferguson | Randy W. Ferguson
    It all depends on the type of debt you have incurred and if you want to pay over a five year plan or get rid of the debt completely.(not always five) It also depends on your job and ability to pay. You should sit down with attorney before you decide. Free consultations with most attorneys.
    Answer Applies to: Alabama
    Replied: 2/21/2011
    DiManna Law Office, LLC.
    DiManna Law Office, LLC. | Dawn DiManna
    It will depend on the type of debts you have, secured/unsecured, and the amounts and your income.
    Answer Applies to: New Hampshire
    Replied: 2/18/2011
    Law Office of Aaron Nielson
    Law Office of Aaron Nielson | Aaron Nielson
    Because there are different types of bankruptcy it is important to talk to an attorney that can evaluate your situation. They will need to work with you to see what kinds of bankruptcy you are eligible. They need to know what your goals are so they can match you to the correct chapter. You should also see if there are other ways to accomplish your goal without filing bankruptcy. Talk to an attorney right away before you start having too many problems. It usually works out better for everyone if we have more time to plan what will happen instead of just reacting to others.
    Answer Applies to: Washington
    Replied: 2/18/2011
    Law Offices of Geoffrey Nwosu
    Law Offices of Geoffrey Nwosu | Geoffrey Nwosu
    The best way to know which chapter of bankruptcy to file is to schedule a meeting with a bankruptcy attorney and discuss your hardship problems with with the attorney. This consultation is free with most bankruptcy lawyers. It is very important to discuss your case with an experienced bankruptcy lawyer so you can avoid making a costly mistake.
    Answer Applies to: California
    Replied: 2/18/2011
    Carballo Law Offices
    Carballo Law Offices | Tony E. Carballo
    That's the million dollar question. That is why you need to see a bankruptcy lawyer for a consultation. Generally Chapter 7 is for unsecured debt such as credit cards, medical bills, loans owed on foreclosed properties, repossessed cars, back taxes more than three years old, etc. Chapter 13 is a reorganization law to pay mortgage payments you have missed, taxes that are not dischargeable, car payments missed and to remove liens such as the second mortgage if you owe more on the first mortgage than what the home is worth. You can have up to five years to pay the debts you cannot discharge in bankruptcy. Also, some people make too much money to qualify for Chapter 7 and are forced to file a Chapter 13 and pay back some or even all the debt if the income is too much. There is a lot more that goes into deciding the best Chapter for your situation.
    Answer Applies to: California
    Replied: 2/18/2011
    Law Offices of Dennis Baranowski
    Law Offices of Dennis Baranowski | Dennis Baranowski
    The determination of the appropriate chapter to file is case specific and depends on several factors, including your household income and expenses and your personal goals for filing. A simple test is that if you have money remaining after subtracting your monthly expenses (excluding payment on credit cards and other debts that will be discharged in a Chapter 7) from your monthly income, then more than likely you will not be able to file a Chapter 7 and would need to file a Chapter 13. However, you may have reasons to file a Chapter 13 Personal Reorganization, including wanting to bring your home loan current, stripping a wholly unsecured second trust deed, or repayment of certain debts that would not be discharged in a Chapter 7. Without knowing your specific circumstances, it is very difficult to provide a complete answer. A meeting with an experienced bankruptcy attorney will provide you with a clear understanding of which chapter is appropriate for you.
    Answer Applies to: California
    Replied: 2/18/2011
    Sussman & Associates
    Sussman & Associates | Mitchell Sussman
    Chp 7 if you want to get rid of the debt. Chp 13 if you want to try and pay it back over time.
    Answer Applies to: California
    Replied: 2/18/2011
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