Northhampton Lawyers - Filing for Chapter 7 Bankruptcy or Chapter 13 Relief

Since the new eligibility laws for Chapter 7 bankruptcy relief came into effect in October 2005, some debtors have found that they can't qualify under Chapter 7 and need to file under Chapter 13. To schedule a free consultation about your ability to file under Chapter 7, or how Chapter 13 bankruptcy can meet your objectives, contact the western Massachusetts bankruptcy law attorneys at Ostrander Law Office.

Northampton debtor's relief lawyers David Ostrander and Denise Shear are both certified as consumer bankruptcy practitioners by the American Board of Certification. We can advise you about the differences between Chapter 7 and Chapter 13. If your household income is high enough to make you ineligible for a Chapter 7 bankruptcy filing, we can show you how Chapter 13 can work for you.

The main differences between Chapter 7 and Chapter 13 are fairly simple: In Chapter 7, a bankruptcy trustee is appointed to supervise your case and administer your nonexempt assets, which in most Chapter 7 cases are few or none. The objective under Chapter 7 is a complete discharge of all of your general unsecured debts, such as credit cards, medical bills, and other debts that are not secured by collateral. Certain debts, such as most tax obligations or student loan debts, are not dischargeable in bankruptcy.

In Chapter 13 case, a trustee is appointed to "oversee" your case, but her primary role is to collect the monthly payments that you make according to your Chapter 13 Plan. You are still eligible for a discharge of unsecured debts, but you need to make monthly payments into a repayment plan that will pay unsecured creditors more than they would get under Chapter 7. This might be as little as a dime on the dollar. Most Chapter 13 payment plans continue for three to five years.

Either way, filing for bankruptcy can eliminate the pressure you're facing right now. As soon as you file the Chapter 7 or Chapter 13 bankruptcy petition, all debt collection activities by creditors must stop immediately, whether they're collection calls or mortgage foreclosures. For additional information about whether Chapter 7 or Chapter 13 is right for you, contact the experienced Northampton bankruptcy attorneys at Ostrander Law Office.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.