Differences In A Chapter 7 And A Chapter 13 Bankruptcy Attorney In Oshkosh

Filing for bankruptcy does’t mean that you lose everything including the shirt off your back. It also doesn’t mean that you avoid all future payments for your debts. Hiring a Bankruptcy Attorney Oshkosh can determine if you need to file Chapter 7 or Chapter 13. Chapter 7 stays on your record for ten years and it is categorized as total bankruptcy and Chapter 13 stays on your record for seven years and is set up like a payment plan system
Filing for bankruptcy is a tough decision but there are two choices to help you protect as much as your dignity, equity and collateral possible. Sometimes it is necessary to file for total bankruptcy however, there are times when setting up a payment plan will help you keep some of the things you have worked hard for.

Chapter 7 declares total bankruptcy and while there are a few exceptions to what you can keep, most of what you own can be taken to distribute to creditors. Typically this route will take anywhere from four to six months and will cost at a minimum $300 for court fees. Counseling is required by the United States government approved by the “Credit Counseling and Debtor Education” committee.

Chapter 7 will require a few financial forms in your petition to the court. If it is determined you have enough assets to liquidate and sell them yourself, Chapter 7 may not be an option. Forms include information about your property, income, expenses, your last two years of assets and expense records along with sales or gifts.

Chapter 13 on the other hand sets up a payment plan for your expenses while making it easier to repay. Your Bankruptcy Attorney Oshkosh will file this petition to the court. Again, counseling will be required through an approved United States Trustee’s agency. Through this system you will be ordered to pay your debts through your income. After calculating all your debt, the court will determine if there is enough disposable income to live by. If you can not make the payment plan because of certain hardships, you may be able to convert to a Chapter 7 filing.

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