Chapter 7 vs. Chapter 13 Bankruptcy
When determining whether to file for bankruptcy, there are numerous factors that should be taken into account. Your short-term and long-term financial goals should be evaluated, as well as your current financial situation, amount of debt, and more. If you are facing foreclosure and want to take action to save your house, this will also impact how filing a Chapter 7 or Chapter 13 bankruptcy will affect you.
When you contact the McCann, Ribstein & McCarty Law Firm and speak with one of our experienced lawyers, you will have the opportunity to learn more about Chapter 7 versus Chapter 13, an important distinction that should be made if you are to make the right choice about filing. Chapter 7 bankruptcy and Chapter 13 bankruptcy have distinct advantages, and our legal team can fully clarify these for you.
Advantages of Chapter 7
Chapter 7 bankruptcy is often a viable option for someone who does not have many assets or does not own much property, aside from basic necessities such as clothing and furniture. With a Chapter 7 bankruptcy, most unsecured debt can be completely eliminated, leaving the debtor with a fresh financial start. Once you file, all creditors and debt collectors must stop all collection efforts or legal action against you. This is an effective way to immediately stop creditor harassment. Additionally, the Chapter 7 bankruptcy process typically moves fairly quickly, generally resulting in a complete discharge within a few months.
Advantages of Chapter 13
A Chapter 13 bankruptcy is most often workable for those individuals with regular income and who own property that they want to keep, such as a house, cars, etc. Chapter 13 allows a debtor to pay off their unsecured debt over time, by way of a payment schedule that lasts approximately 3 to 5 years. Filling a Chapter 13 case can stay foreclosure proceedings and will stop all creditor contact and harassment. Upon successfully completing the payment schedule, all eligible debt will be discharged.
If you are interested in learning more about Chapter 7 and Chapter 13 bankruptcy in South Dakota, please contact McCann, Ribstein & McCarty.
- Why a Bankruptcy Lawyer
- How to Choose an Attorney Types of Bankruptcy
- Chapter 7 Bankruptcy
- Chapter 13 Bankruptcy
- Chapter 7 vs. Chapter 13 Bankruptcy
- Bankruptcy Process / Timeline
- Bankruptcy Myths
- Benefits of Bankruptcy
- What Happens Next
- Alternatives to Bankruptcy
- Credit Counseling
- Foreclosure Defense
Proudly assisting all of South Dakota including the following Counties: Aurora County, Beadle County, Bennett County, Bon Homme County, Brookings County, Brown County, Brule County, Buffalo County, Butte County, Campbell County, Charles Mix County, Clark County, Clay County, Codington County, Corson County, Custer County, Davison County, Day County, Deuel County, Dewey County, Douglas County, Edmunds County, Fall River County, Faulk County, Grant County, Gregory County, Haakon County, Hamlin County, Hand County, Hanson County, Harding County, Hughes County, Hutchinson County, Hyde County, Jackson County, Jerauld County, Jones County, Kingsbury County, Lake County, Lawrence County, Lincoln County, Lyman County, Marshall County, McCook County, McPherson County, Meade County, Mellette County, Miner County, Minnehaha County, Moody County, Pennington County, Perkins County, Potter County, Roberts County, Sanborn County, Shannon County, Spink County, Stanley County, Sully County, Todd County, Tripp County, Turner County, Union County, Walworth County, Yankton County, Ziebach County
