The two major types of relief used by consumers are Chapter 7 Bankruptcy and Chapter 13 Bankruptcy. When you decide it is time to file bankruptcy, you will have to make a decision about which is most suitable for your case. Our attorneys will help you understand the choices you have in front of you.
is the most common type of bankruptcy filed and it offers several advantages over the 3 to 5 year payment plans of Chapter 13.
- Cases are completed in about 100 days.
- The protection is immediate. The day a Chapter 7 is filed all garnishments, collection calls, lawsuits, and other collection activity is stopped.
- Success Rate: Over 99% of Chapter 7 cases our firm handles results in a discharge of the debts. Wow, that is an amazing statistic! There simply is no other debt solution that even comes close to that.
- Cost: Chapter 7 is the cheapest debt solution, period.
- You can rebuild credit immediately after the case is over.
Our firm’s policy is to provide a free initial consultation in person or over the phone. Bankruptcy is not always the right decision, and you need an attorney honest enough to review all your options. We are here to help you, not judge you.
Chapter 13 – Wage Earner Plan
- Chapter 13 Stops Foreclosures. Homeowners are allowed to cure an existing mortgage default over the 3 to 5 year payment plan. The homeowner must resume the regular house payment the month after the case is filed, and they are permitted to make an additional payment each month through the bankruptcy trustee to slowly eliminate the mortgage loan default.
- Lien Stripping: If you have a 2nd mortgage and the value of the home is less than the amount owed on the 1st mortgage, a Chapter 13 has the special power to “strip off” the 2nd mortgage debt. At the completion of the bankruptcy case the junior mortgages are simply discharged. Chapter 7 will not strip off a junior lien.
Lower Filing Fee: Unlike a Chapter 7 case, attorney fees are typically paid through the Chapter 13 plan so it is less costly to file the Chapter 13 initially. In the long run Chapter 7 is the cheaper way to file, but many debtors simply cannot afford to pay the upfront fees required to file Chapter 7.
No matter whether you decide that a Chapter 7 Bankruptcy or a Chapter 13 Bankruptcy is in your best interest, the attorneys at Sam Turco Law Offices P.C. are able to facilitate that process. We serve the cities of Omaha, Lincoln, Fremont, Papillion, LaVista, Ashland, Beatrice, Grand Island and Hastings, Nebraska. If you need to discuss bankruptcy with our attorneys, call today we’re here to help.