Chapter 7 bankruptcy is usually considered an easy and quick way to have your debts discharged. However, your situation may be different and you should call the Law Office of Yelena Kalika before you take any actions. She will assist you in determining which type of bankruptcy protection is right for you. She will also inform you whether there are any circumstances in your particular situation that disqualify you from either Chapter 7 or Chapter 13 bankruptcy. Additionally, Yelena Kalika will also advise which type of bankruptcy will allow you to protect most, if not all, of your property.
Debtors do not always have a choice between Chapter 7 and Chapter 13 bankruptcy. Both the amount of the debt and debtor’s income are important factors that must be taken into account. Yelena Kalika may recommend Chapter 7 bankruptcy if your income does not exceed your state’s median income. If your income is above your state’s median income, Yelena Kalika will determine your eligibility for Chapter 7 bankruptcy on the basis of the means test.
If you have a regular income and if you have some property you are not ready to give up, Yelena Kalika may recommend Chapter 13 bankruptcy because it will allow you to repay your debts over time and keep your property. Not everyone will be able to qualify for Chapter 13 bankruptcy because the law states that debts cannot be too high. Yelena Kalika will help you create a repayment plan that the bankruptcy judge will need to approve. It is mandatory that you stay current on all the payments during your repayment period.
Chapter 13 bankruptcy has several other important benefits. It allows the debtor to make up the missed mortgage payments over time and reinstate his or her original agreement with the lender, even if behind on the payments. Chapter 13 bankruptcy also allows a debtor to protect a co-debtor. And it allows the debtor to pay off his or her tax obligation and other debts that are otherwise not dischargeable in bankruptcy.