Bankruptcy – A New Opportunity In Life

At the very heart of bankruptcy law is the notion that honest, financially strapped citizens experiencing serious financial hardship should be given the opportunity for a “fresh start” in life. Bankruptcy holds out a promise of “a new opportunity in life and a clear field for future effort, unhampered by the pressure and discouragement of pre-existing debt.” Whether or not bankruptcy is appropriate for a given individual or business is always a personal decision, greatly influenced by the amount of debt and financial picture as a whole. Depending on the circumstances, bankruptcy may or may not make sense for a client.

The lawyers at Arboleda Brechner represent individual and business clients in a variety of bankruptcy proceedings. We bring experience, skill, and creativity to the highly complex area of bankruptcy law. While we have the capacity and flexibility to handle the needs of most clients we focus the majority of our attention on Chapter 7 and Chapter 13 bankruptcies. To learn about a variety of hot topics in bankruptcy law please go to our E-Newsletter. To learn more about Chapter 7 and Chapter 13 bankruptcies please read on.

Chapter 7 Debtors and Creditors

A Chapter 7 bankruptcy is sometimes referred to as a " straight bankruptcy " or "liquidation." The lawyers at Arboleda Brechner counsel clients about:

• Discharge of Taxes
• Foreclosures
• Repossession
• Credit Cards
• Security Interests
• Medical Bills
• Student Loans
• Automatic Stay Litigation
• Lawsuits
• Garnishments

Click here learn the answers to frequently asked questions about Chapter 7.

Chapter 13 Debtors and Creditors

A Chapter 13 bankruptcy involves making payments to the bankruptcy trustee for a period of three to five years. A Chapter 13 bankruptcy allows debtors to catch-up on debts if they have fallen behind and can't catch-up on your own. Filing a chapter 13 also allows debtors to retain more belongings than in Chapter 7. This is the reward for making payments to creditors. Other advantages of Chapter 13 include:

• The ability to reinstate a home mortgage that is in default
• The ability to stop Internal Revenue Service (IRS) collection efforts and satisfy non-dischargeable tax liabilities free from interest and penalties
• the ability to retain non-exempt real estate and personal assets
• A broader form of discharge than Chapter 7

Click here to learn the answers to frequently asked questions about Chapter 13.