Bankruptcy Law Specialist in Market City 3

At LinkNow Media, I am highly aware that even the prospect of considering bankruptcy can be an extremely challenging and difficult situation for a Market City 3 individual or business. The fact of the matter is that nobody sets out with the intention of filing for bankruptcy. The unfortunate reality of the situation however is that, for many people, this is a reality that they must face. If this is the case for you, and if you live in or near Market City 3, then you need to contact LinkNow Media today and allow me to assist you. With a wealth of experience in all aspects of bankruptcy law, there is no challenge too big or task too small for my diligent legal service. I promise to do my very best for every one of my Market City 3 clients.

Which Type of Bankruptcy is Right for Me?

In general, bankruptcy applies to debtors and small businesses, and is subdivided between those who can and can’t afford to pay back some or all the debt they have accrued. Chapters 7 and 13 of the Bankruptcy Code are the relevant chapters in this regard.

Chapter 7: This type of bankruptcy refers specifically to individual debtors. In theory, an individual debtor who is filing for bankruptcy needs to turn over all his or her assets to a trustee, who is then tasked with selling, or liquidating, these assets for the benefits of the debtor’s creditors. However, while this is the theoretical outline of how such a case would progress, the reality of the situation is quite different. In practice, almost all individual or consumer bankruptcies are ‘no asset’ bankruptcies and this type of bankruptcy doesn’t result in a loss of assets and instead receives a discharge, which is a legal term for the elimination of debt. It is important to note that to be eligible for bankruptcy of this nature, a debtor must have little or no disposable income.

Chapter 13: This type of bankruptcy is for those individuals or small businesses who can afford to re-pay some of the debt they have accrued. The Chapter is officially entitled Individual Debt Adjustment and, in many ways, this type of bankruptcy amounts to a repayment plan. The good news for those who apply for this type of bankruptcy is that, in most cases, they only have to pay creditors what they can afford to pay so long as it is as much as what they would have received in a Chapter 7 type payment. It is important to note that no balance is charged on repayments of this nature, this means that the balances are fixed from the time of filing. The benefits of Chapter 13 type bankruptcy is that it allows homeowners to remain in their home without fear of eviction. From a tax debt perspective, Chapter 13 type debt is used to repay any outstanding tax that wasn’t discharged from a Chapter 7 proceeding.