You may be surprised to know that there are six types of bankruptcy in the United States. When an individual files for bankruptcy it falls under two chapters; Chapter 7 or Chapter 13. The Law Offices of SRIS, P.C. has extensive knowledge and experience in handling bankruptcy under these two types. Bankruptcy chapter 7 lawyer near me come with local understanding and have the skill to give you relief under these provisions.
Before getting into the intricacies, let us understand what these two chapters mean to individuals taking a decision of insolvency.
Liquidation Bankruptcy: Chapter 7 or liquidation bankruptcy removes debts and is specially designed for those who are not able to clear their monthly repayments. The court appoints a trustee to liquidate your assets and repay your debtors with cash. The assets could be your car, household appliances, furniture, expensive curios, etc. Once the debt is repaid, Chapter 7 discharges you of the debt responsibility. Speak to your Bankruptcy Lawyers Near Me immediately. Call bankruptcy chapter 7 near me now.
Wage earner’s plan: Chapter 13 is a repayment plan approved by the court to clear your debt within a period of time, for instance, 3 or 5 years. Once the debts are cleared you are relieved of the responsibility of repayment. This protects your assets, still giving you an opportunity to clear your debts without foreclosure of your property. The catch here is to make mortgage payments on time during the time period. Your lawyer for bankruptcy Near Me can explain on this option
Now that we have learnt about the two types of individual bankruptcy laws, let us find out if Bankruptcy Lawyers Near Me can change Chapter 13 case to Chapter 7.
Chapter 13 could be challenging with a 3-5 year wait period and in between a lot of things may change; you job, income, medical expenses, children’s education, etc. This could lead to reevaluating your assets. If you are facing similar situation, it is time to call Bankruptcy Lawyers Near Me now.