Personal Bankruptcy

banner-img

Personal Bankruptcy

Canterbury Law Group is uniquely qualified to represent clients in personal bankruptcy cases. We are involved in cases throughout the country with a focus on Arizona, California, Nevada and New York.

 

Bankruptcy provides a fresh start for individuals who qualify. Bankruptcy provides for the reduction or elimination of certain debts, and can provide a timeline for the repayment of non-dischargeable debts. It also permits individuals and organizations to repay secured debts with more favorable terms to the borrower.

 

If you are stuck in a desperate financial situation, please know that there is absolutely no shame in filing personal bankruptcy. The most common types of expenses causing people to file for bankruptcy are credit card bills, medical bills, payments due from lawsuits, identity theft, a reduction of income and trouble with financially irresponsible family members. The vast majority of bankruptcy filers are honest people who have simply fallen on challenging financial times that were unforeseen.

 

Bankruptcy may be a smart financial solution compared to remaining in serious lingering debt. Possibly just as important, filing for personal bankruptcy will stop all creditor harassment, garnishments and foreclosures. There are typically two main options for consumer bankruptcies, Chapter 7 and Chapter 13. Our lawyers will aid your selection of which bankruptcy best matches your asset, debt and income profile.

 

Chapter 7

Chapter 7 provides individuals with a discharge of all debt, which are “dischargeable” under the Bankruptcy Code. In a Chapter 7, all of the debtor’s non-exempt assets on the petition date are liquidated through the priorities set forth in the Bankruptcy Code. At the time of filing, the bankruptcy code establishes the creation of your “debtor’s estate” which includes all “non-exempt assets.” As a Debtor you have various duties and obligations, including significant duties of co-operation, which are owed to the Trustee. These obligations are designed to assist the Trustee in the administration of your bankruptcy estate.

 

Subject to the “means test” for individual debtors, relief is available under chapter 7 irrespective of the amount of your debts or whether you are solvent or insolvent. An individual cannot file under chapter 7 or any other chapter, however, if during the preceding 180 days a prior bankruptcy petition was dismissed due to the debtor’s willful failure to appear before the court or comply with orders of the court, or the debtor voluntarily dismissed the previous case after creditors sought relief from the Arizona bankruptcy court to recover property upon which they hold liens. In addition, no individual may be a debtor under chapter 7 or any chapter of the Bankruptcy Code unless he or she has, within 180 days before filing, received credit counseling from an approved credit-counseling agency either in an individual or group briefing.

 

Chapter 13

Chapter 13 is a type of bankruptcy that allows consumers who are struggling with debt to seek relief through the court. Chapter 13 is often used when facing a home foreclosure, as it can stop the foreclosure process in its tracks.

 

Chapter 13 often allows the debtor to keep their homes, cars and other important possessions while dealing with their creditors. If you are struggling to pay your monthly bills, filing for bankruptcy under Chapter 13 may allow to you get back on track by reorganizing your debts into one affordable monthly payment.

 

A Chapter 13 bankruptcy is not a per se liquidation but rather involves a restructuring of debt over a three or five-year period, pursuant to a plan which is filed with, and approved by, the court. This plan allows a debtor to pay its creditors a percentage of the amounts owed to them. Like in a Chapter 7, in a case under Chapter 13, the court appoints a Trustee. Pursuant to the terms of your Chapter 13 plan, you make one single global monthly payment to the Trustee, who then pays the creditors their pro-rata share of what is owed.

 

When acting as your bankruptcy counsel, Canterbury Law Group solves problems and helps you reach your goals. Our lawyers are dealmakers, not deal breakers, and we will do everything in our power to deliver our legal services on time, and under budget so you can get back to your life and your work.

 

When representing you in personal bankruptcy, our goal is to help you achieve a new financial existence post-discharge. Our track record speaks for itself.