Affordable Clearwater Bankruptcy Attorneys
Do you need bankruptcy assistance in Clearwater Florida? Our Affordable bankruptcy Attorney can file a chapter 7 or chapter 13 bankruptcy on your behalf. It is important to know that Chapter 7 and 13 differ in many various ways. Chapter 7 bankruptcy does not include filing a repayment plan like a chapter 13 Bankruptcy. Chapter 7 bankruptcy allows a trustee to collect and sell the debtor's nonexempt possessions in order to pay claims from creditors in agreement with the requirements of Bankruptcy Code.
A portion of the debtor's property can be taken as security for additional creditors. Bankruptcy Code does permit a debtor to retain certain types of "exempt" property; however, a bankruptcy trustee can liquidate a debtor's remaining assets.
Debtors should be aware that filing a petition for bankruptcy under chapter 7 can result in losing property.
Chapter 13 advantages over a Chapter 7 Bankruptcy
Chapter 13 offers advantages over a chapter 7 bankruptcy by allowing debtor's the opportunity to save their homes and stop foreclosure. The time period allotted can help remedy past mortgage payments that are delinquent. Keep in mind you must still pay all current mortgage payments on time during the bankruptcy plan Chapter 13 offers.
Excluding mortgages for a primary residence, a chapter 13 bankruptcy allows rescheduling of secured debts. In many cases this allotted time period may lower payments along with other special provisions that may also help to protect co-signers. Chapter 13 Bankruptcy acts like a debt consolidation loan, individuals make planned payments to the appointed bankruptcy trustee who will distribute the payment to his or hers creditors. Individuals under chapter 13 protection will not have direct interaction with creditors.
Clearwater Bankruptcy Attorneys explain Chapter 13 bankruptcy
A chapter 13 bankruptcy allows individuals with steady monthly income to create a planned strategy to repay all or some of a filers debts. Installment payments are given in one set amount to an appointed bankruptcy trustee who disperses your monthly payments to your creditors. The chapter 13 bankruptcy plans lasts from three to five years. This is the typical time period the bankruptcy court prohibits creditors from collection actions.
Clearwater Chapter 7 Bankruptcy
Bankruptcy Chapter 7 cancels a good portion of a filers debts. An appointed bankruptcy trustee may sell specific property to repay creditors. Chapter 7 bankruptcy is often referred to as a straight bankruptcy or liquidation.
Are you eligible to file a Chapter 7 bankruptcy?
Bankruptcy Chapter 7 cancels a good portion of a filers debts. An appointed bankruptcy trustee may sell specific property to repay certain debt obligations. Chapter 7 bankruptcy is often referred to as a straight bankruptcy or liquidation.
The means test subtracts expenses on a monthly basis from a person's monthly total income. The test averages monthly income over a 6 month calendar period and will be used to determine the disposable monthly income. The greater someone's disposable monthly income is the more likely that person will not be able to file for Chapter 7.
Debts that can and cannot be eliminated with Chapter 7 bankruptcy
Chapter 7 bankruptcy can eliminate repossession and foreclosure deficiencies, medical bills, credit card debt etc. This is provided you qualify for chapter 7 relief. There are some exceptions that exclude student loans unless you can prove repayment will cause an undue burden, child support, spousal support and certain tax obligations.
It is best to speak with our Clearwater Bankruptcy Attorney to determine your best course of action.
