If you are struggling to make ends meet and have a lot of debt, you’re not alone. Many people are having financial difficulties due to the changing economy and rising unemployment. While bankruptcy was often considered a “last resort” in the past, today it can be used to help families gain a clean financial slate in which to start over fresh.
Chapter 7 Bankruptcy
If your income is below the median income for a household of your size in your area, you may be eligible to file a Chapter 7 bankruptcy. In this type of bankruptcy, non-exempt assets will be liquidated in order to satisfy your creditors, and any remaining debts will be discharged or “wiped clean.” A Chapter 7 bankruptcy may be an excellent solution for families who have low income and high debt, or who don’t have a lot of assets that they wish to keep. Assets that are essential to daily life, such as your home and your car, are generally not liquidated in a Chapter 7 bankruptcy.
Chapter 13 Bankruptcy
If your income exceeds the median income for a household of your size in your area, consider filing for a Chapter 13 bankruptcy. In a Chapter 13 bankruptcy, you will be placed on a 3-5 year repayment plan based on your income, and a bankruptcy trustee will be responsible for distributing your payments to your creditors. After the repayment plan is complete, your debts should be satisfied. Any remaining debt may be discharged. A Chapter 13 bankruptcy will generally only stay on your credit for 7 years, as opposed to 10.
Contact the Donald Harris Law Firm Today
Don’t let being overwhelmed with bills and financial responsibilities wreak havoc on your life. With the help of an experienced bankruptcy lawyer, you may be able to gain control over your finances and start over with a clean financial slate.
At the Donald Harris Law Firm, we understand how frustrating being in debt and being harassed by creditors is. We are committed to providing each of our clients with zealous, comprehensive legal representation throughout each stage of the bankruptcy process. We also can provide you with the resources and tools needed to improve your ability to manage your finances going forward.
Contact us today for a free consultation to discuss your case by calling (419) 621-9388. Our seasoned bankruptcy lawyers are available now to speak with you and to help you and your family get back on sound financial footing.