Types of Bankruptcy
When facing crushing debt, there are a variety of possibilities that can help individuals in the Chicago area to get a fresh financial start in their life after bankruptcy. In some cases, the individual is in a financial position so severe that they qualify for
Chapter 7 bankruptcy. This form of bankruptcy filing is when there is no hope that one could manage their debt-load. A "Means Test" determines whether you are eligible for Chapter 7, and when it is determined that you qualify, the filing of Chapter 7 results in a "discharge of debt". This means that you will no longer owe the debt at all. You will move forward with a fresh start.
Bankruptcy Lawyer in Chicago
There are certain types of debt that are not discharged by Chapter 7 bankruptcy, including past student loans, child support or alimony payments, and some taxes. Your disclosure to the bankruptcy court must cover all debt, as any that are not on the list will not be discharged. A Chicago bankruptcy attorney can assist you with all the paperwork and
filing necessary for Chapter 7 bankruptcy. At the Law Office of Marc Wagman, the
legal team is proud to assist clients in solving their financial problems through this form of bankruptcy.
Chapter 13 bankruptcy is usually considered to be the best form to use for those who do not qualify for Chapter 7, or when an individual prefers to "reorganize" their debt and pay it off over time. This is a very good option for those who have a paycheck, whether as an employee or when self-employed. The back debt that has gotten out of control is paid off over a 3 - 5 year period, and in many cases the total amount owing is negotiated down to a lower level so that it is manageable for the individual. Once again, the individual is free from the problems of
creditor harassment, letters and lawsuits during this period. At the Law Office of Marc Wagman, the firm provides the legal help needed to determine how to proceed and what you could qualify for, as well as other possible options such as assisting clients with loan modifications or debt negotiation.
Contact a Chicago Bankruptcy Attorneyfrom the Law Office of Marc Wagman today! |