When debt negotiation and settlement is not an option and you need real, powerful debt help, you could be entitled to full, and complete elimination of your debt balances on unsecured debts. Those financial obligations that can be discharged through bankruptcy include such debts as medical bills, credit cards, payday loans, utility debts, and personal loans. There are a hand full of debts like back taxes, alimony, criminally related debts, and child support, which typically might not be legally discharged.
Chapter 7 Bankruptcy
Maryland bankruptcy under chapter 7 bankruptcy code is generally called the liquidation bankruptcy term. This form of bankruptcy is the most typical type of bankruptcy. Chapter 7 bankruptcy removes all financial debts, barring a few specific exceptions, with complete legal discharged. In a handful of cases, the situation may require a trade of your non-exempt, secured assets for the fully bankruptcy financial discharge.
What Occurs With Debts Under Chapter 7 Bankruptcy?
After completion with your chapter 7 bankruptcy case, that typically lasts a total of 4-5 months for complete discharge, the complete amount of dischargeable debts are erased legally through the term “bankruptcy discharge.” This essentially means your financial creditors no longer may collect for these debts. It is literally against the law for them to call and even ask for it. This doesn’t amount to you not being able to keep property and other assets like your home or car. Just like the majority of our clients, you too should be able to retain your assets like cars and home after filing Chapter 7 Bankruptcy with us.
Our affordable, experienced bankruptcy lawyer can help determine whether you qualify to file Chapter 7 Bankruptcy. Our lawyers have expertise to ensure your bankruptcy filing produces the optimal financial results and the smallest amount of negative financial and emotional consequences as possible.
Chapter 13 Bankruptcy
Chapter 13 Bankruptcy refers to debt consolidation with partial loan repayment. Chapter 13 Bankruptcy is the type of bankruptcy proceeding whereby someone can turn debts into a repayment plan. This involves a consolidation of debts reduced into a single payment made by you to your bankruptcy trustee. A plan to repay the debts is turned over to a bankruptcy trustee and bankruptcy court. This plan has a monthly payment for the course generally lasting 3-5 years.
The debtor will make monthly installment payments, which are turned over to the Chapter 13 Bankruptcy Trustee who pays out creditors according to their priority in the plan. The Bankruptcy Trustee receives these bankruptcy installments and then pays creditors as required by law and as prescribed according to the bankruptcy plan. While in effect, the bankruptcy court places an Automatic Stay into effect, which stops collection efforts to be made by creditors. After completion, your debts that are dischargeable which remain unpaid, are completely discharged.
Requirements to File Chapter 13 in Maryland
For you to qualify to file Chapter 13 Bankruptcy, you are required to have a steady income as well as to agree to a repayment of a part of the debt, which you owe to your creditors. Bankruptcy courts are required to approve this repayment plan. Should you hire us and we accept you as a client, our attorneys will work with you on this plan to make sure it qualifies and to give you the best chances for being accepted by the courts and your Chapter 13 Bankruptcy Trustee. This part of bankruptcy can be useful in handling mortgage payments that are behind, (now as mortgage arrearages) which are the amount of money which you are negative and which you are behind on the property. These debts are and not dischargeable, as are also taxes as well as student loans, which are exempt from discharge.
Eliminate Negative Home Equity
For those with negative positions in property, (negative equity, making them upside down or under water in property by owing more than it is worth) such as with a car, a home, or other properties that are secured, Chapter 13 Bankruptcy is an option. Chapter 13 Bankruptcy offers significant debt reduction for dealing with your property that is under water. In addition, filing bankruptcy shuts down the foreclosure process immediately, stops wage garnishment, stops creditor harassment and provides debt relief that you need.
What Will Chapter 13 Bankruptcy Do For Me?
Chapter 13 Bankruptcy provides an opportunity for those who have suffered from short-term setbacks with the ability to regain financial control to get their finances together. Some of the setbacks could include job loss, sickness, or significant unexpected expenses like a broken down car and other financial mishaps. Chapter 13 Bankruptcy combines the authority and efficacy of the Automatic Stay alongside an income which provides the ability to get caught up with overdue payments through the course of a three to five year period after starting the bankruptcy process. This along with keeping current on subsequent payments provides the protection. This allows people to keep assets like a car, a house, business assets and more.
Through Bankruptcy, we can help you
• Eliminating Credit Card Debt
• Stopping Creditor Harassment
• Removing Garnishments
• Stopping Lawsuits
• Stopping Foreclosures
• Preventing Foreclosure
• Affordable Bankruptcy
• Eliminating Medical Debt
• Stopping Vehicle Repossession
• Rebuilding Credit After Bankruptcy
• Stopping Bank Garnishments
• Negotiating Tax Debt Settlement
• Restructuring Debts
How Long Does Bankruptcy Take?
A Chapter 7 bankruptcy case with no major assets that must be liquidated and distributed to creditors can proceed quite quickly, say 3 to 4 short months. On the other hand, Chapter 13 Bankruptcy involves a repayment plan ranging generally from 3 years to 5 years for completion.
A free legal evaluation handled by an experienced bankruptcy attorney is your best option for understanding how bankruptcy works and how it can affect you.
Call Us today by dialing 301-242-5590. You can receive a free consultation for chapter 7 and/or 13 bankruptcy protection by visiting our office located at 6305 Ivy Lane, Suite 101, Greenbelt, MD 20770.