As far as bankruptcy is concerned, there are certain laws attached to it. One of such laws is the Chapter 7 Bankruptcy Law. You may be wondering what this law is all about. Simply put, it is a process which a debtor’s assets is liquidated in a bid to pay one or more debts. The case is specially handled by a bankruptcy trustee who is placed in charge of the sales of your assets that are confirmed to be non-exempt with the proceeds from the sales evenly shared out amongst your creditors.
With the increase in bankruptcy filing, the “Bankruptcy Abuse and Consumer Protection Act” law has been passed. Research has shown that a lot of people are actually neck deep in debt and are definitely going to contend with the new rules as far as bankruptcy filing is concerned.
There is actually one good thing about Chapter 7 Bankruptcy Law which is the fact that a higher percentage of the persons who qualify under the law own very few or no valuable assets that can be put up for liquidation. For example, under the Chapter 7 Bankruptcy Law, if the market value of your car or house is on the low side, you are allowed to keep the car or house as the case may be.
Under this same bankruptcy law, majority of your debt, especially the unsecured type are completely erased not minding if you own assets that are eligible for liquidation or not. Some of these debts may be accrued from medical bills, credit cards and certain personal loans. This does not mean that all of your debts will be erased especially those on criminal fines, student loan and even family support debts.
Procedure for Bankruptcy Filing:
It is a confirmed fact that the impact of a bankruptcy relief is very great. Under the Chapter 7 Bankruptcy Law, as soon as we file your bankruptcy case in court, your creditors no longer approach you directly for retrieval of debts. If there are lawsuits that are already in process against you on debts, they are promptly dismissed, an end is subsequently put on foreclosures including every other legal proceeding initiated against you. Any other action that can be taken against you in relation to your debts, are only done with the consent or approval of the appropriate court.
Initial informational meeting:
This is one of the first steps taken towards getting you relieved from creditors’ confrontations. This meeting is usually free of charge and presents an opportunity for us to give you more insight on the new bankruptcy law and everything about debt relief. It avails us the opportunity to evaluate your property’s equity, if you can keep such property or not, the debts that require dismissal and those that needs to be paid out. These are some of the issues discussed during this initial meeting.
Evaluation of case:
As soon as we are through with the free initial meeting and you are sure of retaining our services, we proceed to evaluating your case. Once this process is initiated, you can authoritatively inform your creditors that our firm now represents you and every call from them should be stopped therewith. This process is known as the preliminary injunction. A “safe harbor test” is carried out which is aimed towards confirming that you are eligible to file for bankruptcy under the Chapter 7 Bankruptcy Law. This test involves the evaluation of your monthly income within the past six months in comparison to the average income in New York, with the size of your household being put into consideration. At the confirmation that your monthly income is below the state median or average income rating, you are eligible to file Chapter 7 Bankruptcy Law.
There is every tendency that you may not have a smooth ride in filing bankruptcy under Chapter 7 Bankruptcy Law owing mainly to the new bankruptcy law, research has shown to a higher percentage, approximately 85% or more of the people who filed for bankruptcy under Chapter 7 Bankruptcy Law before the existence of the new law, can still file chapter 7.
Whatever happens, our aim is to ensure that you are relieved of your debts in the most suitable and easier means possible. Should you need our firm to carry out a case evaluation for you, all you need to do is fill out our online intake form here and we will email you our bankruptcy questionnaire and other necessary documents that will help you towards getting your financial affair in order.
Lose your job? Hours cut back? Unforeseen medical emergency? Bite off more debt than you can chew?
If you answered “yes” to any of these questions, then a Chapter 7 bankruptcy may be right for you. A Chapter 7 bankruptcy will not only provide you with an opportunity for a fresh start, but it will also stop harassing phone calls from debt collectors, collection agencies and credit card companies, as well as allow you to quit paying those outrageous interest rates and penalties credit card companies charge.
Located in Central Islip, the Law Offices of Shawn R. Kassman can provide Chapter 7 bankruptcy representation to individuals throughout Suffolk County and Nassau County, including Bayshore, Oakdale, Sayville, Riverhead, Port Jefferson, Brentwood and Holtsville.
To speak with an experienced Suffolk County Chapter 7 bankruptcy attorney about your credit card and other debts, please call 631-232-9479 (toll-free 1-888-545-2944).
Debt is classified as “secured debt,” such as your house or your car, where the loan is secured with specified property (the bank has a lien on your house or your car), and “unsecured debt,” such as credit card debt and medical bills, where the debt is not secured by any specific property. In a Chapter 7 bankruptcy, you can eliminate or significantly reduce your unsecured debt, often times paying nothing at all or pennies on the dollar.
Speak to one of our bankruptcy attorneys to determine if a Chapter 7 bankruptcy can help you with your situation. Call 631-232-9479 (toll-free 1-888-545-2944).
Yes. But let’s face it, how good will your credit be if you cannot pay your debts anyway? At least with a Chapter 7 bankruptcy, your situation will improve and you can start building your credit back up. Realistically, don’t expect to start seeing an improvement in your credit for a couple of years.
If your creditor was listed in the bankruptcy, then when your bankruptcy was discharged, that debt is deemed paid in full and a creditor has no right to attempt to collect the debt. In fact, it is against the law for them to do so.
Once your debts are discharged through a Chapter 7 bankruptcy, you are no longer legally liable for the debt. If you choose to pay back someone, you may elect to do so, but understand that you are not legally obligated to do so.
Yes. Filing for bankruptcy protection, including Chapter 7 bankruptcy, stops all creditors from continuing collection efforts, and their failure to cease and desist from any and all collection efforts is a violation of the law.
If you have questions related to New York Chapter 7 bankruptcy or want more information about the bankruptcy process and whether you qualify for a Chapter 7 bankruptcy, please call attorney Shawn Kassman or a member of his legal team at 631-232-9479 (toll-free 1-888-545-2944), or fill out our online intake form. We are available 24 hours a day, seven days a week and assist clients located in Central Islip (main office location), Holtsville (office location), Bayshore, Brentwood, Oakdale, Sayville, Port Jefferson and Riverhead, and both Suffolk and Nassau Counties. Our Central Islip law offices are conveniently located down the street from the city courthouse, and we will aggressively utilize the bankruptcy laws to help you and your family attain a fresh start.
We also serve clients in the following areas:
Huntington, Brookhaven, Babylon, Bayshore, blue point, Bohemia, Oakdale, Center Moriches, Centereach, Centerport, mastic, cold Spring Harbor, Commack, Northport, Coram, Deer Park, Hauppage, Islandia, Lake Grove, Manorville, Lindenhurst,, including Smithtown, Huntington, Brookhaven, Babylon, Bayshore, Islip, Amityville, Bayport, Bellport, Blue Point, Bohemia, Brentwood, Center Moriches, Centereach, Centerport, Central Islip, Cold Spring Harbor, Commack, Copiague, Coram, Deer Park, East Northport, East Setauket, Farmingdale, Farmingville, Greenlawn, Hauppauge, Holbrook, Holtsville, Huntington Station, Islandia, Kings Park, Lake Grove, Lake Ronkonkoma, Lindenhurst, Manorville, Mastic, Mastic Beach, Medford, Melville, Middle Island, Mt. Sinai, Nesconset, Northport, North Babylon, Patchogue, Port Jefferson, Port Jefferson Station, Ridge, Riverhead, Rocky Point, Ronkonkoma, St. James, Sayville, Selden, Setauket, Shirley, Shoreham, Sound Beach, Southold, Stony Brook, Wading River, West Sayville, West Islip, Woodbury, Wyandanch, Yaphank, Syosset, Jericho, Massapequa, Plainview, Brooklyn, Queens, Westchester, Staten Island, Orange County, and Manhattan.