Significant changes in the federal bankruptcy laws were enacted in 2005; however, many people over-reacted to misleading information about what these changes mean to the average American. Bankruptcy is still available as a remedy for most people.
At Dustin Bowman Esq. PC, we help people file for all forms of bankruptcy protection, including Chapter 7 liquidation and Chapter 13 individual debt adjustment plans.
Chapter 7 cases are filed to eliminate unsecured debts, such as: credit card debt, medical bills, personal loans, utility bills and much more. Chapter 7 eliminates all of your qualified unsecured debts; you won’t be required to repay those debts. This relief is permanent. The caveat is that Chapter 7 relief can’t eliminate student loans, alimony, child support obligations, criminal restitutions, or certain tax obligations. If you filed Chapter 7 in the past, you must wait 8 years before filing again. Eliminating your debts call or send in a free consultation form today.
Chapter 13 bankruptcy is more commonly known as “reorganization” in the Bankruptcy Code. You must have a steady income to do a Chapter 13 plan. The plan takes into account your income and monthly expenses and then proposes a certain amount to be paid to the creditors. Chapter 13 Plans allow you to catch up on your mortgage payments and car payments when a creditor declines to work with you and commences foreclosure or repossession. You can offer the car note and a percentage of unsecured debts to the creditor without any interest. Unsecured creditors receive a minimum of 2% of the total debt. The length of the plan lasts from 3 to 5 years.