BANKRUPTCY FACTS AND INFORMATION
Bankruptcy can be filed when you have an inability to pay your debts. For consumers, there are two primary types of bankruptcy. They are called Chapter 7 and Chapter 13.
HOW CHAPTER 7 WORKS:
Chapter 7 is often called straight bankruptcy which seeks a discharge of all debts except those you wish to keep. On those items, it is possible to do a reaffirmation on secured debts (e.g. those debts in which property could be taken back if the debt is not paid). Often, it is possible to protect your property from unsecured creditors (e.g. those who do not have a right to repossession) by use of exemptions established under Indiana Law. You can receive a discharge of your debts under Chapter 7 only once every eight (8) years. A Chapter 7 Bankruptcy may remain on your credit report for up to ten (10) years. Thereafter, it must be removed. At Henry Legal Services, we will give you tips on how to re-establish your credit in a much shorter period of time for FREE without seeking the assistance of a Credit Repair Agency. Chapter 7 is designed to give you immediate debt relief and a fresh start.
HOW CHAPTER 13 WORKS:
Chapter 13 is a court supervised debt repayment plan. Repayment amounts depend upon your income compared to your monthly living expenses to see how much you can afford to pay. This is known as your "Best Effort" and means if you can only afford to pay pennies on the dollar - that is all you will need to pay to have the debt declared satisfied. Chapter 13 means you will pay a Trustee a payment each month to take care of those debts listed on the bankruptcy through a Bankruptcy Plan. The proposed Plan period must run a minimum of 36 months but cannot exceed 60 months. It is, however, possible to pay the Plan off early even though the plan length must be designed for between 36 to 60 months. Chapter 13 is most often used to save realty - particularly from foreclosures and Sheriff Sales. The amount you are behind is put into the Chapter 13 Plan to be paid without interest over the Plan length. Chapter 13 can also be used to freeze tax penalties and interest to allow you to pay the amount you are behind in the Plan at a much reduced interest rate. Chapter 13 is the preferred type of bankruptcy and is often forced upon you by the Court if you have the financial means to pay a portion of your debts using a "Means Test" calculation.
THE PAPERWORK AND PROCESSING:
If you need a bankruptcy, I will work hard to make the process as stress-free and uncomplicated as possible. Due to the complexity of the new Bankruptcy Laws, though, you most likely will need assistance since Bankruptcy is now much more difficult than ever. I will do the paperwork and assist you with credit counseling and the Financial Management course now required under the Bankruptcy Code. Together, we will work to accomplish your goals with a minimum of expense and at reasonable attorney fees. If you are strapped for cash, I offer flexible payment plans. If you can afford full payment, I will discount the fees normally charged. At Henry Legal Services, NO ONE IS TURNED AWAY. If you don't need to file, I will tell you and suggest other alternatives. The Consultation is FREE and with NO OBLIGATION. I sincerely hope I can help you- Thanks and Best Wishes: John Henry, Attorney at Law (Henry Legal Services), 537 Turtle Creek South Drive, Ste. 24, Brookwood Professional Building, Indianapolis, IN. 46227. CALL 317-783-7222. FAX 317-536-8823. EMAIL henrylegal@gmail.com. Henry Legal Services is a licensed debt relief agency under the Bankruptcy Code helping people file for Bankruptcy.
