subject: How To Deal With Bankruptcy - You Need To Know The Laws And How This Will Affect You For Years [print this page] Personal bankruptcy must be the last resort you take if you are in insolvency. The reason for this is that it takes years to work its way off of your credit report and new changes in laws have made it far more difficult to escape paying your debts. This means that you're able to have a bankruptcy on your allowance report and still be stuck paying some of your debts.
A client should choose a lawyer that takes care of his case in a respectful, caring and ethical manner, and protects his legal rights, assets and private rights. Lawyers who specialize in bankruptcy cases have experience in creditor-debtor disputes that rise up in court, federal trials and state appellate courts. A New York bankruptcy lawyer can file for bankruptcy under either Chapter 7 (straight liquidation bankruptcy) or Chapter 13 (hinder mortgage foreclosures).
After filing a Chapter 7 bankruptcy petition, some debtors discover that they are far better served by pursuing relief under Chapter 13. By filing an appropriate motion with the bankruptcy court, the debtor has an absolute right to convert the petition to a Chapter 13 filing, if the debtor has not previously converted a Chapter 7 bankruptcy to a Chapter 13 bankruptcy, and the debtor's estate qualifies for Chapter 13 relief.
If you are thinking regarding filing for bankruptcy, you must know the basic bankruptcy facts before you file. This article will give you an overview of what you should expect when you file for bankruptcy.
Bankruptcy covers a wide type of proceedings. The most common form of bankruptcy is liquidation under a chapter seven filing. What is liquidation? Liquidation is the appointment of a trustee who will gather non-exempt properties of the debtor. They will then sell those properties and give the proceeds to the creditors. The other chapters of bankruptcy are a bit more complex. (Chapter eleven, chapter twelve, and chapter thirteen). These types of bankruptcy permit the future revenue to pay of creditors. Also, we have chapter nine bankruptcies. Chapter nine bankruptcies are offered only to municipals. It is more like reorganization than liquidation. Chapter twelve and thirteen are very much the same except that chapter twelve is only available to farmers.
So to avoid bankruptcy you really need to keep in touch with your creditors, contact an expert financial counselor or lawyer and make formal agreements with your creditors to not only lower your payments and rates but to protect assets such because your home and give you peace of wits that you won't be opening the front door to a debt collector.
