Chapter 7 Bankruptcy
Chapter 13 Bankruptcy

Deciding whether or not filing bankruptcy is the right step for you is a difficult and complicated decision. If you are facing a foreclosure, repossession or are tired of the harassing telephone calls from creditors, bankruptcy may be the best option for you and your family. For individuals there are generally two types of bankruptcy that can be filed, Chapter 7 or chapter 13.  Whether you need to file a Chapter 7 or a Chapter 13, the important thing to understand is that you will be able to have relief from the financial stress that you are currently facing.  After having a consultation with Jeffrey S. Posin and Associates we will be able to determine what type of bankruptcy is right for you.

Chapter 7 Bankruptcy

Also known as “Fresh Start” or “Liquidation” bankruptcy, Chapter 7 bankruptcy allows a person to eliminate most or all of his or her debt while being allowed to keep much of the property he or she may have.

In most cases, a person may keep their home or car(s) (secured debt), provided that they continue to make current payments and are up to date on the loan.  Additionally, Nevada provides generous exemptions in bankruptcy which allows you to keep most or all of your personal belongings, including but not limited to your clothing and furniture.  Additionally, you will be able to keep your retirement accounts up to $500,000.00 in value.

Chapter 7 eliminates:

Under a Chapter 7 bankruptcy you can eliminate:

• Credit Card debts
• Medical debts
• Deficiencies on repossessed autos and home foreclosure
• Payday loan debts
• Personal loan debts
• Lawsuit Judgments, including some personal injury judgments unless related to fraud or certain criminal acts
• Certain types of IRS debts – many income tax debts are dischargeable.
• Personal Injury judgments – except driving while intoxicated and criminal injury.

When possible, most people prefer to file a Chapter 7 bankruptcy as it allows for a new start without a lengthy repayment plan as required in a Chapter 13 bankruptcy. With the economy going through a major downturn, many people are facing payments on debts that they cannot afford to pay. Chapter 7 bankruptcy allows for a fresh start by discharging their debts without the burden of a repayment schedule.

It is very important to note that while a Chapter 7 bankruptcy eliminates most debts, it does not eliminate student loans except extreme hardship cases, debts from certain types of taxes, alimony maintenance or support payments, fines, penalties and criminal restitutions, or debts from personal injuries caused by driving while intoxicated, among other things.

When you retain Jeffrey S. Posin and Associates you can take comfort knowing that your bankruptcy case will be given the personal attention it deserves by an experienced attorney.

Chapter 13 Bankruptcy

A Chapter 13 bankruptcy offers several advantages over a Chapter 7 bankruptcy and is used in many cases when an individual is trying to save their home from a foreclosure or a car from repossession. Perhaps one of the most important things a Chapter 13 bankruptcy allows you to do is “strip off” or wipe out a second mortgage if you meet certain criteria.  As is always the case, we will be glad to sit down with you for a free bankruptcy consultation to discuss with you your case and help determine the best course of action for you.

A Chapter 13 bankruptcy, allows you to reorganize your debt and make a monthly payment to the bankruptcy trustee to satisfy your obligations. The repayment plan requires for you to make payments over a three (3) to five (5) year period with the amount and length of your payments being determined by numerous factors. These factors include but are not limited to your monthly income, monthly expenses, the amount of debt and the nature of the debt. After making all of the payments to the trustee required by your plan you would receive a discharge from the bankruptcy court closing your case.  Any debts that are left unpaid will be wiped out at the end of the case.

Filing bankruptcy can be a stressful and difficult time. If you decide that bankruptcy is right for you Jeffrey S. Posin and Associates is here to help you. By retaining Jeffrey S. Posin and Associates to represent you in your bankruptcy case we can help you through the challenges you are facing and provide you with the fresh start that you and your family deserve. Don’t live another day under the stress of your uncertain financial condition, call Jeffrey S. Posin and Associates today to set up a consultation and take the first step to regaining control over your life.