Explaining Your Chapter 7 Bankruptcy Options

At the law offices of Andrew M. Wolfenson, Esq., P.C., bankruptcy petitions are all about getting a fresh financial start. Bankruptcy is a legally recognized way for people who are drowning in debt to find a safe harbor.

Some of the most important questions when considering bankruptcy are:

  • Which is better, Chapter 7 bankruptcy or Chapter 13 bankruptcy?
  • What kinds of debts can I get rid of with a bankruptcy petition?
  • Will I lose my house if I file bankruptcy?
  • Can I rebuild my credit score after filing bankruptcy?
  • Can I file bankruptcy if I am behind on my mortgage or my house is in foreclosure?

You deserve to get answers to these important questions from an experienced local attorney who has filed countless Chapter 7 and Chapter 13 bankruptcy petitions for individuals and families throughout New Jersey.

The law office of Andrew M. Wolfenson, Esq., P.C., has locations in Union and Cedar Knolls. Attorney Andrew M. Wolfenson, Esq., has a quarter-century of legal experience and the respect of the local legal community. Every client of our law firm works directly with Mr. Wolfenson, who will answer all your Chapter 7 bankruptcy questions and help you decide if bankruptcy is right for you.

Filing Chapter 7 Bankruptcy In New Jersey

Chapter 7 bankruptcy is often called "straight bankruptcy." To qualify for Chapter 7 bankruptcy, you must be below a certain income level or have a specific debt-to-income ratio; this is known as the means test. In Chapter 7 bankruptcy, you file a petition showing that you cannot afford to pay your obligations given your current income. Your nonexempt assets go through liquidation for debt payoff. Exempt assets usually include a primary home (up to a certain amount of equity), a car, most pension and/or retirement plans, and a specified amount of savings and personal belongings.

Chapter 7 bankruptcy is best for people who are overwhelmed by debt and cannot see any near-term financial changes that will allow them to make repayments. If you are having short-term financial problems, or if you want to save your home rather than walk away from a mortgage, a Chapter 13 filing may be a better solution.

The Chapter 7 bankruptcy process takes approximately three months from start to finish. The first step is to take a credit counseling course and then file the bankruptcy petition. A trustee's meeting is held, usually three to four weeks later, where the bankruptcy trustee and creditors have the opportunity to question you about the petition and its contents. An additional credit counseling session is required after the trustee meeting, and creditors then have an additional period to object to the discharge of certain debts before the discharge is officially entered, which is two months after the trustee meeting.

Contact Us For A Free Initial Consultation

Bankruptcy is a serious step that should not be taken lightly. At the same time, do not deny yourself the fresh start that Chapter 7 bankruptcy can give to you and your family. We file bankruptcy petitions in both of New Jersey's bankruptcy courts — the federal bankruptcy courts in Newark and in Trenton.

Learn more by scheduling a free consultation with New Jersey bankruptcy lawyer Andrew M. Wolfenson. Contact us to make an appointment at our Union or Cedar Knolls office.

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We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.