Delaware County, PA (Delco) Bankruptcy Lawyer

For an individual in a dire financial situation, filing for bankruptcy can be a frightening option. However, if you do not have any viable alternatives, a petition for bankruptcy could be just what you need to get back on your feet. The form of bankruptcy you need to file will depend on your unique situation. If you or a family member needs legal assistance to file for bankruptcy, contact an experienced Delaware County bankruptcy lawyer.

At Young, Marr & Associates, we understand the uncertainty that accompanies filing for bankruptcy, and we are here to alleviate those concerns. Our firm can help you determine whether filing for bankruptcy is right for you and the type of bankruptcy that would benefit you the most. To schedule a free legal consultation, contact Young, Marr & Associates at (215) 515-6389, or contact us online.

Types of Bankruptcy Proceedings We Handle for Delaware County Residents

Bankruptcy is a legal proceeding that is used by people facing a mountain of debt that they believe they cannot manage. Successfully filing for bankruptcy allows a debtor to be released from personal liability by discharging various types of debt.

One common advantage that is shared by filing for bankruptcy is the right to an automatic stay after filing. An automatic stay prevents creditors from contacting a debtor and from transferring the unpaid bills of the debtor to a collection agency. This can provide the debtor with much-needed relief from the burdens of managing immense debt. However, it is important to understand that besides the automatic stay, one form of bankruptcy may not offer the same protections as another form of bankruptcy.

The following is a list of types of bankruptcy that a debtor should consider filing if they are having great difficulty managing their debt.

Chapter 7 Bankruptcy

Chapter 7 bankruptcy permits a debtor to liquidate certain assets that will then be sold by a bankruptcy trustee to pay off creditors. Chapter 7 bankruptcy can seem frightening because of the possibility of having to sell a property that holds a substantial amount of monetary or sentimental value. However, there are some nonexempt assets that cannot be sold off to satisfy creditors:

  • Property that does not include your primary residence
  • Musical instruments that you do not need for your business
  • Valuable artwork
  • Designer clothing
  • Jewelry
  • A newly purchased vehicle

Chapter 7 bankruptcy is typically preferred by debtors that do not want to spend years handling a bankruptcy claim. This is because the filing and completion of a Chapter 7 bankruptcy typically take about 90 days. The possibility of discharging various types of debt within three months is an appealing scenario for many debtors that are mired in debt. A Chapter 7 discharge can include various items like medical bills, credit card bills, and even student loans in some cases.

Chapter 13 Bankruptcy

Chapter 13 bankruptcy allows a debtor to reorganize and consolidate their debt into a more affordable form. This form of bankruptcy is preferred by debtors that cannot manage their debt, but that still have a steady source of income.

To qualify for a Chapter 13 reorganization plan, you must provide a significant amount of information concerning your debts and finances. For example, you will need to detail all sources of income and your living expenses from month to month. Using this information, the debtor must suggest a repayment plan that would pay off a substantial portion of their debt within a five-year timeframe.

It is important to note that creditors may challenge your bankruptcy petition if they do not agree with the terms of your reorganization plan. This is because if a debtor satisfies the terms of the repayment plan for five years, the remaining portion of their debt will be discharged. An opposing creditor may believe that the amount that would be paid towards your debt at the conclusion of the repayment plan would not be enough.

Chapter 7 bankruptcy and Chapter 13 bankruptcy are two of the most common forms of bankruptcy utilized by debtors. However, there are other forms of bankruptcy that will be more advantageous, depending on your particular situation. For example, if you are a business owner and you wish to keep your business from closing, filing for a Chapter 11, bankruptcy may be the right choice for you.

Contact Our Experienced Delco Bankruptcy Attorneys to Handle Your Claim

If you require assistance filing for bankruptcy, you should contact an experienced Delaware County bankruptcy attorney. The skilled bankruptcy attorneys at Young, Marr & Associates possess over three decades of combined legal experience, and we would be proud to represent you in your bankruptcy claim. To schedule a free legal consultation to discuss your bankruptcy options, contact Young, Marr & Associates at (215) 515-6389.

Have You:

Been paying credit card balances that seem to never go down?

Lost your job and are now having trouble keeping up?

Attempted to work out a payment arrangement to no avail?

Been notified of a mortgage foreclosure action?

Been denied for a mortgage or other line of credit?

If the answer to any of these questions is “yes” then bankruptcy may be an option that you should consider.

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