Chapter 7 Bankruptcy: Liquidation of Assets
Chapter 7 is designed for debtors in financial difficulty who do not have the ability to pay their existing debts. In Chapter 7 cases, we seek to eliminate (discharge) your debts, while allowing you to keep your assets. The theory behind filing bankruptcy Chapter 7 is to give honest debtors a “fresh start.”
Chapter 13 Bankruptcy: Repayment of All or Partial Debt
Chapter 7 is designed for debtors in financial difficulty who do not have the ability to pay their existing debts. In Chapter 7 cases, we seek to eliminate (discharge) your debts, while allowing you to keep your assets. The theory behind filing bankruptcy Chapter 7 is to give honest debtors a “fresh start.”
The purpose of Chapter 7 is to obtain a discharge of your existing debts. If, however, you committed certain kinds of improper conduct described in the Bankruptcy Code , the court may deny your discharge. In order to determine if Chapter 7 is right for you, call now.
The purpose of Chapter 7 is to obtain a discharge of your existing debts. If, however, you committed certain kinds of improper conduct described in the Bankruptcy Code , the court may deny your discharge. In order to determine if Chapter 7 is right for you, call now.
The Advantages of Filing Bankruptcy
- Discharge of most debts
- Protection of property and income from creditors
- Tools for eliminating or modifying secured debts
- Automatic Stay stops creditors from taking action to collect debts
Westfield Debt Relief Through Negotiation
Debt negotiation is an option that many people in debt fail to realize exists. While you might assume that you have no choice but to pay your creditor the full balance that you owe them, there are other options available to you that are significantly easier and more affordable for you to pursue. There are multiple types of debt negotiation, which will be discussed below.
What Is Debt Settlement?
Debt settlement is a form of solving your debt issues, allowing you to settle your debts in either a lump sum payment or in monthly installment payments. You agree to pay the creditor a specified amount, and the creditor agrees to accept. Normally, these debts are settled for less than the amount owed. It is important to note, however, that debt settlement is not the same as debt consolidation, which will be discussed further down.
What Do I Need to Know About Debt Settlement?
- Uncooperative Creditors: One thing you must keep in mind when trying to settle your debt, whether through a hired attorney or on your own, is that the creditor is not under any obligation to settle the debt with you.
- Tax Consequences: You must also prepare yourself for the possible tax consequences that arise when you settle a debt for less than the full amount owed. When a debt is forgiven by the creditor, or cancelled as it is sometimes called, the creditor is required to report the forgiveness of debt (or cancellation of debt) directly to the IRS as a 1099-c.
- Unpredictable Creditors: While not as common as it once was, certain creditors will refuse to cancel the debt despite the agreement made with you. In some situations there are too many creditors involved with the same debt, and mistakes can be made.
Bankruptcy Education Scholarship for College Students
Every year, our firm grants a $1,000 scholarship to the Massachusetts college student who creates the best video essay that elaborates on how lawyers help our society.
Our Scholarship Aims To Accomplish Three Goals:
- Provide financial aid to a college student
- Encourage students to explore the role bankruptcy lawyers play in fighting for justice, defending consumers, helping consumers get a fresh start, and encouraging people everywhere to think about benefits of an efficient bankruptcy legal system.
- Inspire students to pursue a career in any legal field.
How To Enter for the 2019 year:
- Record a two- to four-minute video arguing why Congress should change the bankruptcy laws to allow student loans to be discharged in bankruptcy. Applicants should use plain English and speak honestly.
- Publish the video to your YouTube channel.
- Title the video Bankruptcy Law Scholarship Contest and Include this link https://www.debtfreema.com/scholarship in the description.
- Share your video on our Facebook page and on your own Facebook page.
- Send a direct message to our law office facebook page with a link to the video.
- The scholarship is only available to Massachusetts residents.