Two Types of Bankruptcy Protection for Individuals

The first is discharging of debts where you either pay for or give up your property and the other is where you seek to eliminate all of your debt completely to either restructure your payments or get rid of part of the debts to manage your payments.

Chapter 7 Bankruptcy

Chapter 7 Bankruptcy gives people a fresh start.  Most debts are dischargeable in a Chapter 7, which means that they do not need to be paid back. 

 

Chapter 7

Why Use It ?

Chapter 7 can eliminate: credit card bills, medical bills, car repossession deficiencies, and personal loans. You can even qualify for a Chapter 7 bankruptcy if you own real estate, cars, or other types of personal property. In many instances you can file a Chapter 7 and keep your home, car, or other assets.M.C. Law

Chapter 13 Bankruptcy

Chapter 13 Bankruptcy allows you to reorganize your debts. Depending on your situation, you may not qualify to liquidate all of your debts under Chapter 7 bankruptcy. If you do not qualify for a Chapter 7 bankruptcy, you can file a Chapter 13 bankruptcy.

Chapter 13

Why Use It ?

In Chapter 13 bankruptcy, your debts are reorganized and you will make one monthly payment to the Chapter 13 trustee under a plan that lasts from three to five years. The monthly payment is usually much lower than your monthly payments to creditors prior to filing, and in many instances you only pay back a percentage of your unsecured debts. You can stop foreclosure of your home with a Chapter 13 filing and prevent the forced sale of your home. If you have a pending foreclosure, court date, sale date, or are worried that the bank is getting ready to foreclose, a Chapter 13 filing will stop any and all foreclosure proceedings prior to the sale.

FAQ for Chapter 7

What is Chapter 7 bankruptcy?
Chapter 7 is an elimination of your debts.

FAQ for Chapter 13

What is Chapter 13?

It is a payment plan that restructures your debt.

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Located in Bolingbrook, Illinois.  We are a family friendly and affordable bankruptcy solution to anyone in the Chicago area.
494 West Boughton Road #2a
Bolingbrook, Illinois 60440


M.C. Law Group is a Debt Relief Agency helping people file for bankruptcy.
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