If you are considering filing for bankruptcy in Illinois, you will have to establish both your eligibility for bankruptcy and which type of bankruptcy that you can apply for. This is why it is vital to consult with a Chicago bankruptcy attorney.
The bankruptcy means test is used across the state of Illinois to determine whether or not you qualify for a Chapter 7 or a Chapter 13 bankruptcy. Your local Chicago bankruptcy attorney will be able to advise you on the means test and your options regarding bankruptcy
Chapter 7 Bankruptcy Explained
If you have no source of income and are unable to service any of your debt then you may be eligible for a Chapter 7 bankruptcy. It effectively wipes out all of your personal debt, including medical bills, which is one of the biggest reasons that people are filing for bankruptcy in Illinois. A chapter 7 bankruptcy is also able to stop any wages being garnished by your creditors.
When you feel that you have reached the end of the road and cannot bear to answer the phone or the door anymore because your creditors are hounding you, then talk to a professional bankruptcy attorney who can help ease the path and the way ahead for your financial future.Filing for bankruptcy means that you are able to rebuild your financial foundation and your future without the stress and worry that comes from the crippling debt that is hurting many people across the country.
Chapter 13 Bankruptcy Explained
If you do have a steady job, but have fallen behind on payments or have amassed a large amount of debt due to medical bills that you are unable to service, then you may be eligible for a Chapter 13 bankruptcy. You will have to submit a repayment plan to the court in Chicago who will then assess your case and discharge your bankruptcy when you have completed a Credit and Debt Counseling program to the satisfaction of the local court.
A chapter 13 bankruptcy is one of the best ways of stopping a foreclosure even if you have been served with a foreclosure notice. You will be able to pay back the arrears on your mortgage without losing your home and the roof over your family’s head.
There are a number of different ways of approaching a bankruptcy which is why you need to get the best guidance and help to decide on the way forward. It might fell like you cannot get out of the quagmire of debt right now, but there is a solution and it may very well be through a Chicago bankruptcy attorney.