Passaic County Chapter 7 Bankruptcy Lawyers: Helping You Wipe The Slate Clean
Living under the weight of serious debt is something that no one wants. Sometimes, it can feel impossible to get through it and move forward. However, you can obtain a fresh start by filing for Chapter 7 bankruptcy.
At Acquaviva Law Offices, LLC, we will take the time to thoroughly examine your circumstances to help you determine if filing for Chapter 7 bankruptcy is right for you. At Acquaviva Law Offices, LLC, our attorneys have over 30 years of combined experience representing clients in Passaic County and throughout New Jersey. You can trust us to provide valuable guidance throughout the bankruptcy process so you can focus on your future.
Struggling With Debt? How We Can Help.
If debt is overwhelming your household, you need to know your options for getting out of it, including Chapter 7 bankruptcy. As a family-run law firm, we understand what your family means to you. One of our Passaic County chapter 7 bankruptcy lawyers will work hard to make you feel at ease and in control with honest answers and reliable advice to help you decide whether Chapter 7 bankruptcy is the right choice for your situation.
What Is Chapter 7 Bankruptcy?
Chapter 7 bankruptcy is one of the most commonly used forms of consumer bankruptcy available under federal law. It is commonly called “liquidation bankruptcy” because it can be used to make most types of debt disappear. In exchange, you likely will have to sell some property to generate funds to settle some of your debts. Filing Chapter 7 will also affect your credit score, but most people find it is a fair tradeoff for eliminating the endless cycle of debt.
Not everyone who is struggling with debt qualifies for Chapter 7 bankruptcy. For the bankruptcy court to approve your filing, you must pass a means test to show that you lack the means to repay what you owe.
Understanding How Chapter 7 Bankruptcy Can Help You Start Over
Filing for Chapter 7 bankruptcy has many benefits that can help you start fresh. One major benefit is that, in the majority of cases, you get to keep your home if you are current on your mortgage payments. If you fall behind on your mortgage, there are still other bankruptcy options to help you keep your home.
Chapter 7 bankruptcy discharges a variety of debts, including:
- Credit card debt
- Medical bills
- Utility bills
- Past due rent
- Repossessed vehicles
- Some personal loans
However, Chapter 7 bankruptcy will not discharge spousal and child support debt, most student loans, and government fines. It also will impact your credit score for up to 10 years.
To qualify for Chapter 7 bankruptcy, you must pass a means test that compares your monthly income with the median monthly income in New Jersey. If the means test finds that your disposable income is too high to qualify, you may still be able to file for Chapter 13 bankruptcy instead.
The Assets You Can Keep
Liquidation bankruptcy means that you may have to sell many assets you own to help pay off a portion of your debt. However, federal and New Jersey bankruptcy law makes exemptions for certain assets, which means you get to keep them. These exemptions can include:
- Your home, or up to $25,150 of equity you have built up in it
- Your car
- Personal property, such as your furniture, appliances and clothing, worth up to $18,000
- Payments, such as child support, spousal support and at least a portion of insurance payments
- Public benefits like Social Security and VA disability benefits
We will help you identify which exemptions you qualify for so that the effects of bankruptcy on your everyday life are minimized.
How Long Does The Chapter 7 Bankruptcy Process Take?
Compared with the Chapter 13 bankruptcy process, which typically takes years to complete, Chapter 7 bankruptcy is relatively quick. For most people, it takes four to six months from filing to discharge. During this time, you and your attorney must file with your local bankruptcy court, gather and provide financial documents like your tax returns, pay stubs and bank account statements, attend a meeting with the trustee assigned to your case and your creditors, and take a financial management course. We can guide you step by step through this process so that you get the most out of it and get the fresh start you need.
Understanding the time that Chapter 7 bankruptcy takes and what you need to do to complete it can help you plan your long-term financial future.
You Deserve A Fresh Start With A Passaic County Chapter 7 Bankruptcy Attorney
Everyone deserves a fresh start and a chance at a more financially secure future. As your Passaic County Chapter 7 bankruptcy attorneys, our lawyers are dedicated to helping you find the options that give you the new beginning you deserve. To schedule a free initial consultation, call our Hawthorne office at 973-869-5805 or fill out our online contact form. Hablamos español.
Acquaviva Law Offices, LLC, is a debt relief agency. Its attorneys help people file for bankruptcy relief under the Bankruptcy Code.