Chapter 7 bankruptcy requires an individual or business to liquidate non-exempt assets. The assets are sold by the trustee and proceeds of the sale are distributed to creditors. In many cases, however, there are no non-exempt assets, and a debtor is able to keep everything that they own.
Chapter 13 bankruptcy requires you to pay back some or all of your debts over time. It may be used in cases where you do not qualify for Chapter 7 because your income is above the means test threshold or where you have fallen behind on payments for your home or car and would like a chance to get caught up. Depending on your assets and income, you may only be required to pay back a portion of your unsecured debt. A Chapter 13 can also be used to strip off junior mortgage liens that are entirely unsecured because the amount of your first mortgage lien exceeds the value of your home.
Bankruptcy is a complicated process, and the results that can be obtained are dependent on the assets you own as well as your income and expenses. Zator Law has the background and experience to guide you through the process that is meant to provide you with a “fresh start”.
We have represented clients in Chapter 7 & 13 bankruptcy proceedings in the Eastern and Middle Districts of Pennsylvania. While we do our best to ensure that your case proceeds as smoothly as possible, we have experience in dealing with the many challenges that may arise during the course of a bankruptcy case. We welcome you to come in and sit down with us for a free initial consultation to see if a bankruptcy case could provide you with the relief you are seeking.
This law firm is a debt relief agency under Federal law. We provide legal assistance to individuals seeking relief under the Bankruptcy Code.