Learn What Kind Of Bankruptcy Is For You
If you are experiencing money problems, you may have already done some research about personal bankruptcy. Most individuals choose to pursue one of two routes: Chapter 7 and Chapter 13 bankruptcy. While these are relatively common legal procedures, they can seem complicated for those who have little experience with bankruptcy.
Working with an experienced bankruptcy lawyer can go a long way toward helping you understand which form of bankruptcy — if any — is a good fit for you and your situation. As the founder of the Steele Law Firm, I have advised many clients in Fort Worth and helped them get their affairs in order so that they could begin to rebuild their financial future via the clean slate that bankruptcy can provide.
Chapter 7 Vs. Chapter 13: Benefits And Drawbacks
Understanding the defining features of Chapter 7 and Chapter 13 bankruptcy is essential for helping you make an informed choice about the commitment you are going to make. Here are some of the key points to understand:
What is Chapter 7? In this form of bankruptcy, debts are paid via the selling of some of the debtor’s assets. This provides some immediate payments to the creditors, and quick relief to the bankruptcy filer. The entire process, from filing to discharge of debt, can take only a few months.
What is Chapter 13? Instead of liquidating assets to go toward your debts, in Chapter 13 bankruptcy you enter into a repayment plan where you pay back at least a portion of your debt in monthly installments. While the process takes longer — up to five years — you get immediate protection from foreclosure, automobile repossession and harassing creditors as soon as you file.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.