East Hampton, New York is a great place to live. However, like any other city or town, many individuals and households in and around East Hampton are facing financial problems. There are many different reasons why you may struggle financially, such as medical bills, loss of a job, unexpected expenses, or even poor financial decisions. No matter what the reason may be for your financial issues, it can be extraordinarily stressful to watch the bills pile up and constantly have to dodge debt collectors.
If you are facing overwhelming debts that you cannot afford to pay, you may be continually enduring debt collection calls, creditor lawsuits and judgments, liens on your property, levies on your bank accounts, and threats of repossession of your vehicle or foreclosure of your home. If you are a business owner with debt problems, your very livelihood may be at stake and years of hard work at risk. Fortunately, the law recognizes that some people get into situations where they face debts they can never pay and allow them to file for bankruptcy to help solve their issues and start over.
Attorney Ronald D. Weiss has been helping people in East Hampton and throughout New York resolve financial problems using the legal system for more than 25 years. Depending on your specific situation, there may be different solutions to settle your debts and regain control of your finances. Our law office regularly handles cases involving bankruptcy, foreclosure defense, loan modifications, and other debt solutions. If you are in need of advice regarding your debt problems, please call today for a free consultation.
The law office of Ronald D. Weiss can evaluate your specific debt situation without judgment and will advise you whether bankruptcy is a favorable solution in your case. If so, we will also help you determine which type of bankruptcy is right for you.
Chapter 7 – If you file under Chapter 71 of the United States Bankruptcy Code, you have the opportunity to have many debts discharged without having to make any further payments. This type of liquidation bankruptcy is used by both individuals and businesses though in order to qualify, you must pass a means test, which measures the amount of income you have left to pay your bills. If you fall below the threshold for the means test, you can file under Chapter 7. In exchange for the discharge of your debts, you will have to surrender certain property to be liquidated so the proceeds can go toward your creditors. There are exemptions available under New York law that can help you keep certain types of assets and property and a skilled bankruptcy attorney will help you apply your exemptions in the manner that will leave you with the most property possible.
Chapter 11 – While Chapter 11 bankruptcy2 is available to both businesses and individuals, it is most commonly used by businesses that are planning to remain in operation. Chapter 11 will reorganize debts and set out a specific monthly payment plan, with payments being divided among creditors as the bankruptcy court sees fit. During the payment plan, you will have to keep the court updated on the financial situation of your business and the court may have a say in how you run your business so as not to waste assets. If you complete the payment plan, the court can discharge the remaining debts of the business.
Chapter 13 – Chapter 13 bankruptcy3 is much like Chapter 11, though it is only for individuals. This bankruptcy will require reorganization of debts and a specific payment plan for three to five years. This type of bankruptcy is generally beneficial for people with extensive property they do not want to have liquidated or who do not meet the income requirements of the Chapter 7 means test. This type of bankruptcy can also help if you are behind on your mortgage payments, as arrears can be included in the payment plan without fear of foreclosure. If any debts remain after your plan is over, the court can discharge many of those debts.
Each type of bankruptcy has its own requirements and benefits and you should have an attorney carefully review your options to ensure you are in the best financial situation possible when the bankruptcy case is over.
Relief from bankruptcy can be felt as soon as a petition is filed, however, there are many requirements you must meet and issues you must address in order to successfully complete the bankruptcy process. Attorney Ronald D. Weiss will navigate the complex process for you and will represent your rights in bankruptcy court.
When you file for bankruptcy, you will need to complete and submit extensive paperwork regarding the specifics of your debts, income, assets, and property. Any errors can cause your bankruptcy to be delayed or even dismissed without a discharge. You attorney will work with the bankruptcy trustee assigned to your case to ensure you are on the right track toward the discharge of your debts. If any issues may arise in the bankruptcy process, it is important to have a highly experienced bankruptcy lawyer who knows how to address and resolve these issues so that your case may continue successfully.
In many ways, declaring bankruptcy in New York is no different from declaring bankruptcy in another state. The bankruptcy procedure is governed by federal law, not New York state law, and it operates by voiding the agreements you have with your creditors, giving you a fresh start.
But there is a substantial role for the laws of New York. They choose which assets you get to keep when you file for bankruptcy. After reviewing the fundamentals, we’ll explain extra filing information that you’ll also need to be aware of.
Most people choose Chapter 7 or Chapter 13 when they file. You’re not the only one who is unaware of the distinctions between the two. We’ll help you understand by providing a brief explanation below and our practical Chapter 7 versus 13 chart.
Chapter 7 insolvency for a number of reasons, Chapter 7 is frequently chosen as the first bankruptcy option. It moves quickly; it is finished in a few months. You don’t pay any money to the creditors, thus it is also inexpensive. It works nicely for those of us who own only the necessities for living and working.
But those with more resources can lose them, particularly if they possess superfluous luxuries. You can be required to give up your RV, baseball card collection, timeshare in the Bahamas, or even your home or automobile if you owe money on it or have too much equity in it. In contrast to Chapter 13, Chapter 7 does not offer a payment plan option to make up missed automobile or mortgage payments. As a result, if you file late, you risk losing your house or automobile.
Chapter 13 bankruptcy. In contrast, those who apply for Chapter 13 must use a three- to five-year repayment plan to pay back all or part of their debts to creditors. But the payment schedule enables
Chapter 13 to provide advantages not present in Chapter 7. For instance, you can prevent your home from going into foreclosure or your car from being repossessed in addition to keeping all of your stuff.You can utilize this chapter to compel a creditor into a payment plan if you need more time to pay back a debt that you cannot dismiss through bankruptcy. What is this chapter’s main drawback? It might be pricey. The monthly price is sometimes unaffordable for many people. Find out more about the circumstances in which filing for Chapter 13 is preferable than Chapter 7.
Anyone who is struggling to pay their bills should not hesitate to discuss their legal options with a highly skilled and experienced East Hampton bankruptcy and foreclosure attorney. At the office of Ronald D. Weiss, P.C., we have helped many people and families get back on their feet through bankruptcy and other debt relief options. Initial consultations are always free, so you have nothing to lose by exploring your rights and options today. Call to speak with an experienced attorney at 631-271-3737 or use our email contact form today.