If you’re overwhelmed by debt and have no way to pay it back, it might be time to start over and file for bankruptcy. If any of the subsequent situations characterize your existing situation, then bankruptcy may be your only suitable selection.

  • You cannot pay utility bills
  • You have medical bills you cannot repay
  • Your house is going into foreclosure
  • Your car is about to be repossessed
  • You have been unemployed for months and can’t pay off debts

Types of Bankruptcy

At Waldman, Grossfeld, Appel & Baer in Reisterstown, Maryland (21136), we can help you handle filing for bankruptcy. There are two types of bankruptcy to file for: Chapter 7 and Chapter 13.

Chapter 7 Bankruptcy

This is also known as “straight” bankruptcy, or “golden” bankruptcy, as it removes most of your debts, with some exceptions. You might need to return some of your property while keeping fundamentals to uphold a healthy standard of living.

Sometimes your property will be reclaimed to pay your creditors. However, certain states permit the filer to keep their vehicle, clothing, jewelry, life insurance, retirement plan, etc., but this significantly differs from state to state. However, sometimes exemptions are enough that you can keep all of your possessions and they are safe from unsecured creditors. With a secured creditor, you can typically keep your home and/or vehicle, but you must sign a reaffirmation agreement that states you’ll stay up-to-date with car payments. Your home won’t be foreclosed upon if you keep making payments under Chapter 7 and a reaffirmation agreement isn’t necessary.

Chapter 13 Bankruptcy

This is also known as debt adjustment and it is suitable for people in Reisterstown, Maryland who are behind on payments but still able to pay creditors. They will need a new repayment plan. These people can file for Chapter 13 Bankruptcy if they have a good income but are behind a car loan or mortgage payment, owe income taxes or have property they want to maintain. It may not be possible to file Chapter 13 bankruptcy if you’ve already filed for Chapter 7 during the last eight years. The filing fee varies from state to state.

Unsecured debt, credit cards and other bills can be paid off in a Chapter 13 plan for an affordable price. It depends on your disposable income after paying for normal living expenses. Some debtors will file for Chapter 7 relief if their income is too high, but this will be determined at the beginning of each case.

How We Can Help You

If you’re filing bankruptcy in Reisterstown (21136), it is best to talk with a lawyer ahead of time. Bankruptcy is a complex which involves dealing with creditors. Before you choose to file Chapter 7 or 13, contact a lawyer at Waldman, Grossfeld, Appel & Baer. Many issues can arise when it comes to auditing property and other assets, and a qualified legal representative can help you navigate the situation.

Call our competent bankruptcy attorneys about filing for Chapter 7 or 13 bankruptcies. After hiring an attorney from Waldman, Grossfeld, Appel & Baer in Reisterstown, you can direct your creditors to us so they stop contacting you. Our fees are based on the specific case it is and its intricacy. Call 443-712-2529 today!