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Chapter 13 Bankruptcy

Newburyport Chapter 13 Bankruptcy Attorney

When people get in over their heads in debt, it is not always their fault. Luckily, the law acknowledges this. Regardless whether an illness, divorce, business failure or other misfortune led you to financial problems, there is usually a practical way to get back on track.

Filing for bankruptcy protection under Chapter 13 is the lesser-known form of personal bankruptcy. Unlike Chapter 7, which is known as liquidation or "a fresh start," Chapter 13 is "wage-earners' bankruptcy" because it requires you to agree to a payment plan. You make payments you can afford over three to five years and are then released from outstanding debts.

Advantages and Disadvantages

You may not have the option to file under Chapter 7. Congress changed the law in 2005, because many felt that people who could make payments were instead discharging debt at the expense of legitimate creditors. Our firm can help you determine whether you have the option. If you have an above median income, you will probably not be able to file under Chapter 7.

Chapter 13 has some advantages however. The record of your bankruptcy will remain on your credit report for only seven years, as opposed to 10 years with Chapter 7. If your income is enough for you to make mortgage payments on your home, you will not lose your home to foreclosure.

Under Chapter 13 you will not be over-and-done with it promptly, as in Chapter 7, but you will have the peace of mind that unmanageable debt will be released and you will soon be back on solid footing.

Newburyport Chapter 13 Bankruptcy Lawyers

We are dedicated to our clients and providing the best service to each one. We offer skills and abilities, technology and responsiveness to rival any firm in the area. Contact a Massachusetts personal bankruptcy lawyer today.

A Contemporary Law Firm with Traditional Values
Office Location

Law Office of Mark L. Janos, P.C.
6 Harris Street
Newburyport, MA 01950
Map/Directions

In Massachusetts, call 978-225-0043
In New Hampshire, call 603-239-3148

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