Bankruptcy is a legal process that can help people who are having trouble paying their debts get a fresh start. If someone owes more money than they can pay. There are two main types of bankruptcy that people can file: Chapter 7 and Chapter 13.
Chapter 7 bankruptcy is also known as the "Fresh Start" bankruptcy. For people that qualify most debts will be eliminated, which means they don't have to pay them anymore.
Chapter 13 bankruptcy is also known as "reorganization" bankruptcy. This means that the person will create a plan to pay off their debts over a period of three to five years. Chapter 13 is usually used by people who whose income is too high to qualify for Chapter 7.
Both Chapter 7 and Chapter 13 bankruptcy can help people get relief from their debts and get a fresh start financially. It is important to speak with a bankruptcy attorney to help you with all of your options. Give us a call today.