FAQs

Chapter 7, also known as straight liquidation, typically eliminates unsecured debts such as credit cards and medical bills, offering a fresh financial start. Chapter 13, often referred to as debt consolidation or the wage earners plan, is primarily designed to halt foreclosures and repossessions. It allows for the repayment of overdue amounts over a 36 to 60-month period. In Chapter 13, it's possible to consolidate various debts, including car payments, tax debts, student loans, and support arrears.

There is no specific dollar amount of debts to qualify for bankruptcy. As an experienced Chapter 7 attorney in Syracuse, NY, I've filed bankruptcies for people who owe anywhere from $2,000 to $150,000 or more. The main requirement for filing a Chapter 7 bankruptcy is that you don't have a great deal of excess income after the payment of regular living expenses. For instance, if you have a very high monthly income and fairly low monthly expenses (not counting the credit card or other payments, which would be eliminated in the bankruptcy), this may show that you have the ability to repay at least some of your debt in a Chapter 13 bankruptcy, and thus not qualify for a Chapter 7.

So long as your assets are within the exemptions provided by law, you shouldn't lose any property. A partial list of these exemptions include: the home you're living in up to $85,400.00 equity per person; up to $4,550.00 per person in equity toward one vehicle; up to $1,150.00 per person of personal property, which usually covers household furnishings and personal effects which can be valued at "replacement value prices;" up to $5,700.00 of cash if you don't claim a homestead exemption; all funds in retirement accounts; IRAs; 401-Ks; annuities; social security income; and disability income. Additionally, if you qualify, you may be eligible to elect the Federal Exemptions, which provide even broader exemptions! Reach out today to learn more from the Chapter 13 attorney Syracuse, NY residents choose first.

Chapter 7 discharge is an order signed by the bankruptcy judge declaring all of your debt to be discharged. When you choose Simonetta & Associates, P.C. as your Chapter 7 attorney in Syracuse, NY or the surrounding areas, we'll discuss what debts can't be discharged.

Even though a Chapter 7 bankruptcy can remain on your credit report for up to 10 years, according to Forbes, you'll probably find you can get credit right away, but at high-interest rates. However, most people find it only takes about two years to build their credit, which allows them to obtain credit with good-quality interest rates. Reach out to Simonetta & Associates, P.C. today to learn more from the Chapter 7 attorney Syracuse, NY recommends.

As long as you have a regular source of income, you should qualify to file a Chapter 13 bankruptcy. Contact Simonetta & Associates, P.C. to consult with a Chapter 13 attorney in Syracuse, NY or the nearby areas about whether you qualify.

Yes. If one of the spouses doesn't need to be in bankruptcy, other than for the foreclosure, that spouse can remain out of the bankruptcy. Contact Simonetta & Associates, P.C. to learn more from the Chapter 7 attorney Syracuse, NY residents rely on for quality representation.

The meeting of creditors is a scheduled event that occurs approximately 30 days after your bankruptcy filing. This meeting is conducted by a court-appointed trustee, typically a lawyer, rather than a judge. The trustee will ask you questions under oath about your assets and debts, usually lasting about five minutes. While creditors are permitted to attend and ask questions, their presence is uncommon.

In my experience as a Chapter 7 attorney in Syracuse, NY and the surrounding areas, the minimum period of reorganization is 36 months, and the maximum period of reorganization is 60 months.

This is a plan prepared by your attorney in which the method and amount of repayment of your debts are outlined and proposed. The amount to be repaid is dependent upon your assets, disposable income, secured debt, and arrearage owed. Reach out to Simonetta & Associates, P.C. for a Chapter 13 attorney in Syracuse, NY or the surrounding areas who can explain this plan in detail.

Chapter 13 bankruptcy is a debt repayment plan for individuals with regular income. Unlike Chapter 7, which liquidates assets to pay creditors, Chapter 13 allows you to keep your property while repaying debts over 3-5 years. It's ideal for those who want to catch up on mortgage payments or have assets they wish to protect.

A Chapter 13 bankruptcy typically remains on your credit report for 7 years from the date of filing. However, its impact on your credit score diminishes over time, especially if you maintain good financial habits after the bankruptcy is discharged.

Yes, self-employed individuals can file for Chapter 13 bankruptcy. However, you must have a regular income and be able to propose a feasible repayment plan. Our attorneys can help you navigate the complexities of filing as a self-employed person and ensure your plan meets court requirements.

Chapter 7 bankruptcy is a legal process that allows individuals to eliminate most unsecured debts. It involves liquidating non-exempt assets to pay creditors, although many filers can keep most or all of their property. The process typically takes 3-6 months and ends with a discharge of eligible debts, giving you a fresh financial start.

Eligibility for Chapter 7 bankruptcy depends on several factors, including your income, expenses, and debts. Generally, you must pass a means test, which compares your income to the median income in your state. If your income is below the median or you pass the means test, you may qualify. It's best to consult with a bankruptcy attorney to determine your eligibility.

Not necessarily. Generally, in a Chapter 7 bankruptcy, if your assets can keep most or all of their property through exemptions. These exemptions vary by state but often cover essentials like your home, car, personal belongings, and retirement accounts up to certain values. A skilled bankruptcy attorney can help you understand which exemptions apply to your case and how to best protect your assets.