Naperville Bankruptcy Attorney
Debt can quickly pile up and get out of hand. Life is unexpected, and sometimes issues arise that can leave us struggling to pay the bills. When this happens, bankruptcy can help you achieve a fresh financial start. However, is it right for your specific circumstances? And if it is, should you file for Chapter 7 or Chapter 13 bankruptcy? At Lorraine M. Greenberg & Associates, we’ve helped hundreds of clients overcome debt and get on the road to financial recovery. Speak with an experienced Naperville bankruptcy attorney who can help you develop the best debt relief strategy for your circumstances. Contact us today.
How Can Bankruptcy Help You?
With bankruptcy, individuals and businesses can regain control of their finances long after they can no longer pay off their creditors. Typically, the bankruptcy process ends with the court ordering a discharge or restructuring of debt.
Bankruptcy is available in either of the following forms for individuals:
This is the quickest, simplest, and most common type of bankruptcy. Individuals can eliminate “qualifying” debt by selling off property and assets. This “qualifying” debt can include credit card and medical bills or loans. The proceeds gained from the selling of property goes towards paying off the debt owed. Chapter 7 usually takes between four and six months to finish.
Individuals looking to keep their property and assets should consider filing for Chapter 13 instead. Though, keep in mind, this type of bankruptcy takes much longer. Through Chapter 13, individuals can reorganize their debt into a 3 to 5 year long repayment plan.
Is Bankruptcy Your Best Option?
Bankruptcy can help you resolve your debt problems, as well as treat your creditors fairly. However, bankruptcy is not for everybody. As tempting as it sounds not to have to worry about unpaid bills again, it’s important to know exactly what you’re getting yourself into financially.
If you’re trying, or are going to try very soon, to buy a car or house, or even start a business, then bankruptcy may not be right for you. This is because filing for bankruptcy typically negatively affects your credit score. This could make borrowing a loan much more difficult.
In addition, bankruptcy will not help you if you’re buried under debt that it cannot address. Bankruptcy can only discharge “dischargeable debt, which includes medical, credit card, and personal loan bills. Unfortunately, bankruptcy cannot work on “non-dischargeable” debt, such as taxes, child support, or student loan debt.
Furthermore, if you own a lot of “non-exempt” property or assets that you want to keep, then you may want to a different debt relief option. “Non-exempt” property or assets are not protected from bankruptcy liquidation. Examples of “non-exempt” property include homes, cars, investments, and bank accounts. You can, however, still keep other types of property or assets, including furniture, clothing, pensions, or damages won from personal injury claims.
If bankruptcy won’t resolve your issues, an experienced Naperville bankruptcy attorney can help you explore your different options. Other options include negotiating with creditors to develop a more affordable payment plan and more.
When Is Chapter 7 Bankruptcy Right for You?
In order to file for Chapter 7, you must qualify by passing the “means test”. With this test, your income gets compared to the average income of other people in similar circumstances to yours. If your income does not equal enough to repay your debts, then you will pass.
If you’re looking to quickly get out of debt by selling off property or assets, then Chapter 7 may be right for you. Any non-exempt property you hold can be sold off in order to repay your creditors.
However, keep in mind that after your debt is discharged through Chapter 7 bankruptcy, you cannot re-file for Chapter 7 for eight full years. So, only consider Chapter 7 if you do not plan on getting yourself back into debt anytime soon.
When Is Chapter 13 Bankruptcy Right for You?
Have a fair amount of non-dischargeable debt and a reliable income? Chapter 13 may be your best bet. With this bankruptcy chapter, you can reorganize your debt into a reasonable repayment plan and use your income to pay that debt off over time.
Likewise, if you hold a lot of non-exempt property that you want to keep, you should consider filing for Chapter 13. Under Chapter 13 bankruptcy, your assets are locked against foreclosure, including your home and car, as long as you continue to pay off your debts.
Contact a Naperville Bankruptcy Attorney Today
If you’re struggling under crushing debt, seek help from a Naperville bankruptcy attorney. At Lorraine M. Greenberg & Associates, we can examine your case and help you find the best debt relief strategy for your situation.
Naperville Bankruptcy Lawyer
If you are looking for a bankruptcy lawyer in Naperville, Illinois, look no further. Lorraine M. Greenberg & Associates will provide you with attentive, personalized service at a reasonable price, give you honest advice, and quality legal services. We will stand up for your best interests.
We are bankruptcy lawyers dedicated to practicing bankruptcy law for the benefit of our clients. Talk to a seasoned bankruptcy attorney in Naperville Lorraine M. Greenberg today. A Naperville bankruptcy lawyer can help stop the harassing phone calls, stop a foreclosure, and stop garnishment of your hard earned dollars. Dealing with debt can be stressful, and the thought of filing bankruptcy can give you even more anxiety. Give the Naperville bankruptcy attorney who has earned the respect of her peers, and judges alike, the opportunity to earn your trust.
Naperville Info Bytes
Arriving by schooner in July of 1831, Joseph Naper’s family and friends founded Naper’s Settlement. In less than a year, over a hundred settlers had migrated to this settlement. Fort Payne, built at the settlement as protection from a feared indian attack which never materialized. Incorporated as the Village of Naperville in 1857, it was reincoprorated as a city in 1890 and remains the county seat of DuPage.