Chapter 7 Bankruptcy
Chapter 7 bankruptcy is the short form. In most cases Chapter 7 bankruptcy eliminates your debts in 90-120 days. To prove you are eligible to file a Chapter 7 bankruptcy, we must show that:
You have not completed any kind of bankruptcy with a date of filing under eight years ago,
You do not have some very valuable asset like a non-IRA/non-401k stock portfolio (401k's/IRA's cannot be seized in bankruptcy),
Your regular net income is less than or barely exceeds your ordinary monthly expenses,
Your total household yearly gross income during the most recent six months was less than the median income for a household of its size. However, the median income test is not set in stone. Even if you are over the median income, you may still be eligible under Chapter 7 if you have certain offsets like high mortgage payments, high car payments, child support payments, or expensive health insurance payments.
In most Chapter 7 bankruptcies, you will be granted a discharge, eliminating the majority of your debts from 90-120 days after we file.
Washington State Now Has A New Generous Homestead Exemption:
Homeowners in Washington now no longer have to fear losing their homes in bankruptcy even if they have built up substantial equity as long as they are living in that home when they file for bankruptcy. (Your home equity is the amount left over after you subtract the total of all your mortgages from the total amount your home could be sold for today.) If you have owned your home shorter than 40.5 months, then your home equity is exempt up to $189,050 in bankruptcy. If you have owned your home longer than 40.5 months, then your homestead equity can be even greater. For example, if you have owned your home for more than 40.5 months in Snohomish County, then your home equity is exempt in bankruptcy up to $676,900. And if you have owned your home for more than 40.5 months in King County, then your home equity is exempt in bankruptcy up to $838,300. Note: if you recently sold your previous home to move into your current home, the Bankruptcy Court will allow you to tack the two homeowning periods together to get past the 40.5 months as long as both homes are in Washington State and you are living in your home when you file for bankruptcy.
Chapter 13 Bankruptcy--Will Save Your Home From Foreclosure and Write Your Other Debts Down To A Fraction Of The Amount Owed
Chapter 13 Homesaver Bankruptcy Will Allow You Extra Time To Cure Your Mortgage:
Chapter 13 bankruptcy gives you time to catch back up on your mortgage while protecting you from your other creditors. Chapter 13 bankruptcy is designed to give you a way to catch back up on mortgages that have fallen behind and to permanently write down the size of your unsecured debt. Chapter 13 radically reduces your unsecured debts (e.g., credit card debt, medical bills) by obtaining the court's permission to redirect your available income primarily to catching back up on mortgages that have fallen behind.
Chapter 13 bankruptcy catches back up on your mortgage and radically reduces your other debts.
You make your payments to the Chapter 13 Trustee, who then pays your individual creditors. Your plan will last from 36 to 60 months. If you have a mortgage and car loans, you will continue to pay for these items in your plan. You also pay a reduced percentage of your unsecured debt in the plan.
Chapter 7 and Chapter 13 Bankruptcy Attorney
The type of bankruptcy you choose depends on your goals, your income and your debt load. In order to file for Chapter 7 bankruptcy, you must pass a means test. If you qualify, all non-priority unsecured debts, including money owed to credit card companies, hospitals and payday loans are discharged or deleted. You must turn over non-exempt assets to the court trustee. You are free to make a fresh start.
Contact us today for a free consultation. 425-398-2778
Chapter 7 bankruptcy is the short form. In most cases Chapter 7 bankruptcy eliminates your debts in 90-120 days. To prove you are eligible to file a Chapter 7 bankruptcy, we must show that:
You have not completed any kind of bankruptcy with a date of filing under eight years ago,
You do not have some very valuable asset like a non-IRA/non-401k stock portfolio (401k's/IRA's cannot be seized in bankruptcy),
Your regular net income is less than or barely exceeds your ordinary monthly expenses,
Your total household yearly gross income during the most recent six months was less than the median income for a household of its size. However, the median income test is not set in stone. Even if you are over the median income, you may still be eligible under Chapter 7 if you have certain offsets like high mortgage payments, high car payments, child support payments, or expensive health insurance payments.
In most Chapter 7 bankruptcies, you will be granted a discharge, eliminating the majority of your debts from 90-120 days after we file.
Washington State Now Has A New Generous Homestead Exemption:
Homeowners in Washington now no longer have to fear losing their homes in bankruptcy even if they have built up substantial equity as long as they are living in that home when they file for bankruptcy. (Your home equity is the amount left over after you subtract the total of all your mortgages from the total amount your home could be sold for today.) If you have owned your home shorter than 40.5 months, then your home equity is exempt up to $189,050 in bankruptcy. If you have owned your home longer than 40.5 months, then your homestead equity can be even greater. For example, if you have owned your home for more than 40.5 months in Snohomish County, then your home equity is exempt in bankruptcy up to $676,900. And if you have owned your home for more than 40.5 months in King County, then your home equity is exempt in bankruptcy up to $838,300. Note: if you recently sold your previous home to move into your current home, the Bankruptcy Court will allow you to tack the two homeowning periods together to get past the 40.5 months as long as both homes are in Washington State and you are living in your home when you file for bankruptcy.
Chapter 13 Bankruptcy--Will Save Your Home From Foreclosure and Write Your Other Debts Down To A Fraction Of The Amount Owed
Chapter 13 Homesaver Bankruptcy Will Allow You Extra Time To Cure Your Mortgage:
Chapter 13 bankruptcy gives you time to catch back up on your mortgage while protecting you from your other creditors. Chapter 13 bankruptcy is designed to give you a way to catch back up on mortgages that have fallen behind and to permanently write down the size of your unsecured debt. Chapter 13 radically reduces your unsecured debts (e.g., credit card debt, medical bills) by obtaining the court's permission to redirect your available income primarily to catching back up on mortgages that have fallen behind.
Chapter 13 bankruptcy catches back up on your mortgage and radically reduces your other debts.
You make your payments to the Chapter 13 Trustee, who then pays your individual creditors. Your plan will last from 36 to 60 months. If you have a mortgage and car loans, you will continue to pay for these items in your plan. You also pay a reduced percentage of your unsecured debt in the plan.
Chapter 7 and Chapter 13 Bankruptcy Attorney
The type of bankruptcy you choose depends on your goals, your income and your debt load. In order to file for Chapter 7 bankruptcy, you must pass a means test. If you qualify, all non-priority unsecured debts, including money owed to credit card companies, hospitals and payday loans are discharged or deleted. You must turn over non-exempt assets to the court trustee. You are free to make a fresh start.
Contact us today for a free consultation. 425-398-2778