Experienced Passaic County Bankruptcy Law Firm: Helping Individuals Struggling With Debt

Last updated on February 28, 2025

If you are experiencing financial hardship and are unable to pay your bills, collection calls and letters could add to your stress. You are searching for a way out but do not know where to start. Fortunately, bankruptcy could be the solution you are looking for, and you do not have to take this journey alone. Our attorneys at Acquaviva Law Offices, LLC, are here to help.

Filing for bankruptcy is nothing to be ashamed of. Hardworking people throughout Passaic County can find themselves overwhelmed by debt after a medical emergency, job loss or other unforeseeable event. Bankruptcy provides a pathway to help you stop creditors from contacting you and remove your obligation to repay most of your debt or lower and reorganize your payments for debt. To determine whether bankruptcy may work for you, give our experienced bankruptcy law firm in Passaic County a call at 973-869-5805 or fill out our contact form.

Chapter 7 Versus Chapter 13 Bankruptcy – Which Is Right For Me?

There are two options for bankruptcy an individual is eligible to file. Each chapter has requirements and ways of handling debt. To file under Chapter 7, you need adequate assets to liquidate to help pay back some of the debt. Chapter 13 requires a retooling of your finances to find a payment plan that you can stick to for no more than three years.

Chapter 7 Bankruptcy: Liquidation

Many people who file for consumer bankruptcy do so through a Chapter 7 filing. However, you must have limited income and pass a bankruptcy means test in order to file for Chapter 7. This type of bankruptcy is a liquidation bankruptcy. This means you may, depending on the specifics of your situation, have to give up your home or other assets to pay off your unsecured debts. Once you file for Chapter 7, your credit report is going to show as much for up to 10 years.

Chapter 13 Bankruptcy: Reorganizing Debt

You may want to consider Chapter 13 if you fail to qualify for Chapter 7 or do not want to put your home and other assets at risk. Should you file for Chapter 13, you must come up with a payback plan and keep up with the payments associated with it for between three and five years. At the conclusion of your payback period, your unsecured debts undergo discharge. This type of bankruptcy filing impacts your credit for up to seven years.

There are many variables involved in deciding whether to file for bankruptcy. If you see no way to pay off debts within the next five years, bankruptcy may be a viable option. Contact our trusted Passaic County Bankruptcy Law firm at 973-869-5805 or by filling out our online form to explore whether bankruptcy is the appropriate solution for you and to determine the most suitable debt relief option.

What Can Bankruptcy Do For Me?

The purpose of bankruptcy is to help you get back on your feet. It accomplishes this by paying back some debts and wiping the rest away. A court-appointed trustee reviews your finances, assets and income to determine how to proceed. Debts with collateral, such as homes and vehicles, take priority. Unsecured debts, such as credit cards, are last in line for payment. The trustee decides how to maximize your payments to eliminate as much debt as possible. A judge discharges applicable debts if you stick to the trustee’s plan.

If you choose bankruptcy, you may become free from the burden of crushing debt sooner than if you try to go it alone. Don’t wait! Give our experienced bankruptcy law firm in Passaic County a call at 973-869-5805 to see what debt relief options are available.

Are You Experiencing Debt Collector Harassment?

• Utility collections: If electrical, water or other utility providers threaten to shut off your services, they may not legally do so for a certain period while the automatic stay is in effect.
• Wage garnishments: If someone has a judgment against you enabling them to garnish some of your wages, this also stops during the automatic stay period. So, you should continue to receive your paycheck in its entirety while the automatic stay is in place.
• General creditor collections: If you have become tired of having creditors call you at home or work, know that they must stop these efforts once you formally start your bankruptcy case.

Bankruptcy And Your Home

A common concern for those considering bankruptcy is whether they will lose their home if they file. How the law treats the family home depends on whether the debtor files for Chapter 7 or Chapter 13 relief. Chapter 7 requires you to liquidate most of your assets to repay your debts, but both New Jersey and federal bankruptcy laws include certain exemptions, including the homestead exemption. Depending on whether you claim New Jersey or federal exemptions, you can exclude up to $25,150 or $27,900 in equity on your primary residence. This might not be enough to keep your home, but it could help give you a financial head start on finding a new place to live.

Under Chapter 13 reorganization bankruptcy, many filers are able to renegotiate their mortgages to a more affordable amount as part of their monthly debt repayment plan so that they can keep their houses.

Struggling With Debt? Contact Our Passaic County Bankruptcy Law Firm Today for Relief!

We are not going to sugarcoat your journey to financial stability. You will have tough decisions to make and commitments to keep, but we will be at your side to help you on your way. Start by sending an email or calling Acquaviva Law Offices, LLC, in Hawthorne at 973-869-5805 to schedule a consultation.

Acquaviva Law Offices, LLC, is a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.