Clifton, NJ Bankruptcy Lawyer
Bankruptcy is a tool used by consumers struggling with debt. To learn if bankruptcy is right for you, speak with our lawyers.
Anyone who needs help regaining a handle on their finances can file for bankruptcy in Clifton. While there is not a set limit on how many times you can enter bankruptcy, you will have to wait between filings. Because of this, it is important to totally address your debt during your first case and set yourself up for success in the future. Furthermore, filing for bankruptcy without your spouse might be the best course of action, if possible in your case. By filing alone, you can protect your spouse’s credit. After you decide that bankruptcy is the next step for you and your family, our attorneys will explain the ins and outs of different bankruptcy chapters and advise you on the best chapter for your specific situation.
To have the Clifton, NJ bankruptcy lawyers of Young, Marr, Mallis & Associates review your case for free, call us today at (609) 755-3115.
Debtors Eligible for Bankruptcy in Clifton, NJ
Nearly anyone can file for bankruptcy in Clifton, but that does not mean you certainly should. Our bankruptcy lawyers will carefully evaluate your financial situation to confirm whether declaring bankruptcy is the best course of action for you and your family.
You may not have to file for bankruptcy if you have debt that you can manage by reorganizing your finances. Depending on your situation, your creditors might be open to negotiating an agreement that allows you to settle your debt without bankruptcy.
Unfortunately, creditors often want all money owed to them, and fast, leaving debtors with little choice but to enter bankruptcy. While that prospect can be daunting, it does not have to be. Through bankruptcy, debtors can eliminate credit card and medical debt and turn their attention to non-dischargeable debt. If you are at risk of losing your car or home because of the amount of debt you have, bankruptcy can help you retain your assets and settle your debts in Clifton.
Filing Multiple Bankruptcies in Clifton, NJ
You cannot file for multiple bankruptcies in quick succession of one another. So, if you have to enter bankruptcy to get a handle on your debt, it is best to prepare yourself for life after you exit bankruptcy.
In Clifton, debtors must wait sometime between bankruptcy filings. This is required to avoid debtors continuously getting into debt and relying on bankruptcy to get a discharge. The waiting period between bankruptcy filings is typically several years.
Within the 180 days prior to your bankruptcy filing in Clifton, you must complete a budget and credit counseling course. This course will provide you with useful tips regarding budgeting and managing your finances so that after bankruptcy, you are equipped with the necessary tools that will help you avoid getting into debt again. During your current bankruptcy case, our attorneys can help you address all of your debt in its entirety so that you exit bankruptcy debt-free. From there, use the information learned in your credit counseling course to properly manage your finances so that you do not risk financial difficulties in the future.
It is also important to note that the more bankruptcies you file, the less likely it is that you will get an automatic stay in Clifton.
Filing for Bankruptcy Alone vs. with Your Spouse in Clifton, NJ
If you are married, consider the benefits of filing a bankruptcy petition alone, without your spouse. This can leave your spouse’s credit score unaffected by your bankruptcy filing.
Bankruptcy impacts credit score. The hit to your credit score will depend on your specific case and your credit score prior to filing. If you and your spouse are co-debtors in your bankruptcy case, both of your credit scores will be affected. However, if you file alone, your spouse will not have a bankruptcy on their credit report.
This can allow one of you to more easily make larger purchases in the years following your bankruptcy case. While you can begin rebuilding your credit relatively quickly after your case is discharged, bankruptcy will remain on your credit report for several years in Clifton.
Chapters of Bankruptcy for Debtors in Clifton, NJ
There are two chapters of bankruptcy for consumers in Clifton: Chapter 7 and Chapter 13. The right bankruptcy chapter for you will depend on your debt type, your income, and your willingness to liquidate assets.
Before filing for bankruptcy in Clifton, you will have to take a means test. This test will compare your income to the statewide average income of New Jersey. If your income is lower than the statewide average income, you will file Chapter 7. If your income is higher than the statewide income, you will file Chapter 13. Even if your income suggests that filing Chapter 7 is best, you might be permitted to file Chapter 13.
By filing Chapter 7, you agree to liquidate certain assets to repay creditors. Our attorneys can help you use state or federal liquidation exemptions to protect specific assets, such as your home or car. If much of your debt is categorized as dischargeable, it will be erased after you file Chapter 7 in Clifton.
The other type of bankruptcy available to consumers is Chapter 13. Chapter 13 bankruptcies require debtors to complete repayment plans. A repayment plan is usually carried out over three to five years. Our lawyers will negotiate with creditors to reduce your overall payments and consolidate all of your debt under one interest rate. This can allow you to repay creditors without the threat of mortgage foreclosure, wage garnishments, or other debt collection efforts.
Call Our Clifton, NJ Lawyers About Your Bankruptcy Case
For help with your case from Young, Marr, Mallis & Associates, call our bankruptcy lawyers at (609) 755-3115 today.