Is Chapter 7 or Chapter 13 bankruptcy a better option for you?

Facing financial struggles can lead to a feeling of hopelessness and despair. If you have overwhelming debt, you may be unsure of how you will ever pay it off on your own or how you will secure a better future for yourself and your family. You could be getting phone calls from debt collectors and facing the threat of collection efforts, such as a notice of wage garnishment or repossession. At this point, you may want to consider the benefits of filing for bankruptcy.  

Bankruptcy may not be your first choice, but it is an organized legal process that allows you to deal with certain types of balances once and for all. Upon the completion of this process, you can begin to create a better financial future without certain types of balances hanging over your head. If you are considering bankruptcy, you need to know whether Chapter 7 or Chapter 13 is right for your situation. 

Choosing the best route 

The right bankruptcy option for you depends on various factors, including the types of debt you owe and your income. The following are reasons why Chapter 7 could be the ideal bankruptcy option for you: 

  • You do not have the income to follow a debt repayment plan. 
  • Most of the debt you owe is dischargeable. 
  • You are looking for quick relief from creditors and debt collectors. 

Chapter 7 is often the preferred bankruptcy choice because it only takes a few months to complete. However, this option is not ideal or an option in every situation because of certain factors. The following may indicate if Chapter 13 is right for you instead: 

  • You are not eligible for Chapter 7 bankruptcy. 
  • You are hoping to save your home from foreclosure. 
  • You are able and want to repay your debt. 
  • You hope to keep much of your non-exempt property. 

An evaluation of your case can help you understand which is the best route for your situation, helping you move forward toward a better financial future. 

Know your options 

Before you make an important decision regarding bankruptcy, you may find it beneficial to learn about all of the legal options available to you. Whether you choose Chapter 7 or Chapter 13 as a way to deal with your debt problems, you will find protection from debt collectors and a cessation of collection efforts against you. Alabama adults may also find that bankruptcy provides them a way forward they would not have been able to find on their own. 

Attorney Brad Hawley

Attorney Brad HawleyAttorney Brad Hawley possesses years of practical experience focused on bankruptcy, civil and criminal defense. He has prosecuted and defended clients in state court, and is a former enlisted member of the United States Army. Brad is driven by his desire to help people that have been hurt by the legal system, and is dedicated to fixing injustices he sees around him. [ Attorney Bio ]

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