Chapter 7 & 13 Bankruptcy Attorneys in Northwest Indiana

Chapter 7 Bankruptcy

Individuals who reside, have a place of business, or own property in the United States may file for bankruptcy in a federal court under Chapter 7 (“straight bankruptcy” or “liquidation”).

In a Chapter 7 bankruptcy, the individual can keep specific exempt property. Most liens, however (such as real estate mortgages and security interests for car loans), survive. Many types of unsecured debt are legally discharged in bankruptcy, but various types are not discharged in Chapter 7. Common exceptions include child support, income taxes less than three years old and property taxes, student loans (unless the Debtor prevails in a difficult-to-win adversary proceeding brought to determine the dischargeablility of the student loan), and fines imposed by a court for any crimes committed by the Debtor. The bankruptcy does not cover spousal support, nor are property settlements through divorce. All debts must be listed on the bankruptcy schedules, even if they are non-forgivable.

Your decision to file for bankruptcy depends upon many factors and should not be taken lightly without consideration of an experienced bankruptcy attorney. To schedule a free first-time appointment with Daniel L. Freeland & Associates, P.C., call us at 219-922-0800 or contact us online.

Chapter 13 Bankruptcy

Chapter 13 bankruptcy protection is designed for individuals with regular income who are temporarily unable to pay their debts and would like to pay them in installments over some time. You are eligible for Chapter 13 if your secured and unsecured debts do not exceed specific dollar amounts outlined in the Bankruptcy Code. You must file a Plan with the Court explaining how you propose to repay your creditors all or part of the money you owe them, using your future earnings. Usually, the period allowed by the court to repay your debts in five years but no less than three years. You may keep all your property, both exempt and non-exempt, as long as you continue to make payments under the Plan.

• A list of all bills. (Do not bring in paper copies of statements unless told to). A written list of who you owe (name of company) and the balance due.
•  A list of your assets. Anything that you own of value, such as a house, car, or other items, along with documents regarding liens on these assets.
• The last bank statement(s) from any accounts in your name.
• Last year’s tax returns.
• Six months of pay stubs or verification of your household income, such as Unemployment statement, SSI statement; as well as proof of spouse’s income.
• Any documents filed in any lawsuits pending against you, such as foreclosure, garnishments, or civil cases.
• Any other financial information you wish to discuss with the attorney.