Chapter 7 Bankruptcy Attorney in New City, New York
If you are unsure of your financial situation and believe that you may need to file for bankruptcy, contact an attorney. A number of reasons find honorable, respectable people facing serious financial circumstances. While some give in to the unjust stigma of bankruptcy, others are realizing that bankruptcy is a path towards financial stability. Chapter 7 Bankruptcy is a “fresh start”- a way for good people to get back on their feet by liquidating certain assets to erase certain debts. If you are uncertain about your financial situation and believe that bankruptcy may be an option for you, contact a compassionate legal team to guide you through your options and represent your needs. Contact Koplen Law.
What is Chapter 7 Bankruptcy?
Chapter 7 Bankruptcy works to provide a clean slate by erasing certain debts, including, but not limited to:
- Credit cards
- Personal debt
- Medical bills
- Utility bills
- Repossession deficiency balances
Not all debts can be eliminated. These are called nondischargeable debts. These can include:
- Certain taxes
- Child support
- Criminal court debts
- Debts incurred by fraud
Chapter 7 eligibility
In order to be eligible for a Chapter 7 bankruptcy, you must satisfy some prerequisites. For one, an individual must pass the means test. This test establishes that one’s income is less than the average family income in the county they live in. The petitioner must also receive credit counseling from an approved agency within 180 days before filing, with some exceptions.
Chapter 7 Bankruptcy allows most people to keep certain assets, including automobiles, pension plans, IRA’s, bank accounts, personal items and most importantly, your house. There are numerous ways in which our firm will explore ways to keep your assets. For example, The Homestead Exemption protects the unsecured portion of your home, also known as equity. This means that the value of your home minus the mortgage due can be protected to a certain degree. Automobiles also are privy to equity exemption, allowing cars under a certain value to be left out of the bankruptcy case. Each debtor is allowed to preserve up to $10,000 in personal items, aside from televisions and wedding rings, which are already exempt. Life insurance policies and annuities are often exempt as well. This is just a small example of the numerous exemptions allowed under the bankruptcy code.
The Automatic Stay
When you file for Bankruptcy, the Automatic Stay will immediately go into effect. This injunction stops all creditors from pursuing debt, bringing lawsuits, wage garnishing, making collection calls, sending collection letters, foreclosure and repossession activities, and bank restraints. This allows you and your attorney the time to consider all legal options without the stress and noise of debt collectors and their methods.
Contact an experienced Chapter 7 law firm
Koplen Law provides quality legal services for clients in the Rockland County area regarding bankruptcy matters. Our firm understands the stress one feels when facing such a significant legal matter. Our welcoming and compassionate staff If you need effective legal support from an experienced attorney, contact Koplen Law for a consultation to discuss your legal matter.