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Eligibility Requirements for Chapter 7 BankruptcySteps To Determine Eligibility for BankruptcyChapter 7 Bankruptcy
Chapter 7 BankruptcyWho Qualifies for Chapter 7 Bankruptcy?Debt to be DischargedMy Assets and Chapter 7 BankruptcyAdditional Chapter 7 BenefitsChapter 13 Bankruptcy
Chapter 13 BankruptcyWhy Choose To File Chapter 13 Bankruptcy?Explore The Debt Repayment Plan Right For YouHow You Benefit from a Chapter 13 BankruptcyChapter 13 Bankruptcy AttorneyChapter 7 vs Chapter 13
Chapter 7 vs Chapter 13Chapter 7 BankruptcyWill You Qualify for Chapter 7 Bankruptcy?Chapter 13 BankruptcyChapter 13 Bankrutpcy Timeline
Chapter 13 Bankrutpcy TimelineChapter 13 Bankruptcy in Florida - What will happen?Chapter 13 TimelineChanges During the Three to Five-year Repayment PeriodWhat if I have filed for Chapter 13 bankruptcy before?Many people contact our office and want to know the difference between a Chapter 7 bankruptcy and a Chapter 13 bankruptcy. While each of these types of bankruptcy is very different, they are both designed to provide debt relief for individuals and married couples.
A Chapter 7 bankruptcy is intended to eliminate most consumer debt. There are certain type of debt that cannot be discharged however, such as student loans and most other government loans. Under certain conditions, some tax debt, either from the state or federal government, may qualify under Chapter 7 bankruptcy for discharge. As a filer of Chapter 7 bankruptcy, you are allowed to claim one personal residence as an exemption from discharge of debt. If you “reaffirm” your promise to continue to pay your mortgage payments, you can keep your home in most cases. You may also be able to hang onto your auto through reaffirmation as well. Generally your creditors will fight the total discharge of your debts. It is up to the bankruptcy court to decide which debts can be discharged and erased completely and which debts must be repaid under the terms of the Court.
As a result of the Debt Relief Act of 2005, all those petitioning for Chapter 7 bankruptcy must make an income at or under the “median income” which is determined by the amount of people that make up your household. If your income is over the median, you still may qualify by way of the means test. The test examines their debt ratio to assets and determines whether they qualify for debt elimination. A skilled attorney will conduct the test and ensure your income and debts are applied accurately for the greatest advantage to you.
Chapter 13 bankruptcy is essentially a debt-restructuring plan to provide the debtor relief. For those who do not qualify for Chapter 7 bankruptcy this can be a good option. Others who qualify for Chapter 7 may choose Chapter 13 if they do not want to discharge all of their debt. Every individual qualifies for Chapter 13 bankruptcy and many types of debt may be included. A debt-restructuring plan will be submitted under Chapter 13 bankruptcy. This can save the debtor thousands of dollars in interest over the course of the debt. If creditors accept the restructure plan the bankruptcy court will supervise repayment. Debt such as Small Business loans can be discharged in a Chapter 13 bankruptcy. While student loans cannot be discharged, you will be able to make payments in a Chapter 13 bankruptcy. As in the case of Chapter 7 bankruptcy, you may choose to postpone repossession or foreclosure on your auto or home by exempting these debts from the petition.
To better understand debt relief options under Chapter 7 bankruptcy and Chapter 13 bankruptcy, contact an experienced bankruptcy attorney from LawyerASAP at, (844) 330-2727. We offer debt relief solutions in compliance with U.S Bankruptcy Code.
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Orlando, Florida 32801
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Main Office: 150 North Orange Avenue Suite 414A, Orlando, Florida 32801. Attorney Matt Englett, Licensed in Florida Disclaimer: the purpose of this site is to provide information about legal options, not to provide legal or professional advice. You should not assume that the information in this site applies to your case without consulting with an attorney first. Requesting an initial consultation does not create an attorney client relationship. The hiring of a lawyer is an important decision that should not be solely based on advertisement. Before you decide, ask us about our qualifications and experience. LawyerASAP is a full service Law Firm with offices in Orlando. Our attorneys handle all areas of Law, including Foreclosure Defense, Loan Modifications, Real Estate Transactions, and Real Estate Litigation, as well as IRS Debt Settlement.