With over three decades of experience in bankruptcy law, Paul N. Mirabelli, Esq. has developed the expertise that a Bankruptcy Lawyer needs to best represent you in Holmdel, NJ. Paul N. Mirabelli, Esq. gives every client the personal and undivided attention that they deserve, making it the Best Bankruptcy Law Firm in the area. The professionals at our firm are approachable, friendly, and understanding in your time of need. Paul N. Mirabelli, Esq. will answer all your questions honestly, keep you up-to-date throughout your entire legal process, present and explain all of your legal options, and represent you to the best of our ability to get you the outcome that you deserve.
What are the options for an individual who wants to file bankruptcy?
Filing for bankruptcy should not be the first plan of action for anyone. It is a way that a person can find debt relief if they have found themselves drowning in debt and see no other way out of it. There are two types of bankruptcy available to individuals. They might be able to file either Chapter 7 or Chapter 13 bankruptcy. Below is a little more about each type.
Chapter 7 bankruptcy is also known as liquidation bankruptcy. This is meant for individuals who are unable to make monthly payments to their creditors. After your Bankruptcy Lawyer files your documents, a trustee will be responsible for holding a meeting of creditors and reviewing your paperwork. In the meeting of creditors, they will have the opportunity to ask you questions about your personal finances. You should then receive a notice of discharge a couple of months after that meeting. While it sounds easy, not just anyone can file for Chapter 7 bankruptcy. Here are some things you need to know:
To qualify for filing Chapter 7 bankruptcy, you will need to pass a means test. If you earn below the state's median income, you should pass this test.
Debt such as credit card debt, medical bills, car loan deficiencies, personal and payday loans, utility bills, and judgments from credit card and debt collection agencies can be erased in a Chapter 7 bankruptcy.
Debts such as child support and alimony, recent tax debts and government fines, and student loans cannot be erased in Chapter 7 bankruptcy.
If you would like to keep any property that is from a secured debt, then you must continue to make payments and remain current on those payments for that property.
There are some exemptions that will allow you to keep most of your personal property, such as clothing, furniture, and cars. However, there are limits to those exemptions.
If an individual cannot file Chapter 7, they might be a candidate to file Chapter 13 bankruptcy. A Chapter 13 bankruptcy allows for the reorganization of a person’s debt. The person filing the bankruptcy must agree to a court-approved repayment plan so that they can settle their debts with their creditors. These plans usually last between three and five years.
Chapter 13 bankruptcy is also available to small businesses that might be struggling to pay their creditors the full amount owed regularly. If you are the owner of a small business in the Holmdel, New Jersey area, you need to consult with an expert Small Business Bankruptcy Attorney at Paul N. Mirabelli, Esq.
If you have found yourself drowning in debt and can see no way out, you should hire an experienced Bankruptcy Law Attorney. If you live in or near Holmdel, NJ, look no further than Paul N. Mirabelli, Esq. Call (732) 733-2830 for a consultation.