Bankruptcy is the legal process available to debtors where the debtor receives protection from creditors and a full or partial discharge of all debts. Consumers generally file for bankruptcy under Chapter 7 or Chapter 13. Chapter 7 bankruptcy provides a complete discharge of all debts after liquidation of assets, while Chapter 13 bankruptcy allows a debtor to set up a repayment plan for paying off their debts.
In 2005, sweeping changes were made to the bankruptcy law process. The revised law requires debtors to undergo credit counseling and pass a “means test” to determine whether they qualify for total discharge under Chapter 7. Otherwise, those debtors who do not qualify for Chapter 7 bankruptcy must file under Chapter 13.
Through our consulting services we can help you with the entire process, from considering the options before filing, through discharge of debts or workout through a repayment plan.
Contact us today to discuss your situation and make a plan to get you out from under your oppressive debt load.