Queens Bankruptcy Lawyer
While it may initially seem daunting, filing for bankruptcy can be an invaluable tool for those who owe more debt than they can pay and are seeking a fresh financial start. On one’s journey for debt relief, an experienced bankruptcy attorney will assess the individual, married couple, or company’s qualifying debt and income, among a variety of other factors to inform the claimant on what method of approach would best suit them.
Before making this crucial decision for one’s financial future, it is vital to work with well-versed New York City bankruptcy lawyers. These attorneys understand the local and federal laws that surround your case. Furthermore, your bankruptcy attorney will inform you of all viable legal options, help you understand the pros and cons of each choice, and represent you in legal proceedings. Our New York City law firm is here to provide you with adequate legal representation.
Continue reading to get a better idea about the intricacies surrounding bankruptcy in New York. Afterward, reach out to our Queens law office for your initial free consultation. During your free consultation, an experienced bankruptcy attorney will speak directly to you to learn more about your current financial situation, obtain a clear understanding of your goals, and develop a game plan on how you should proceed. With law office locations in Nassau County and the Bronx, serving clients throughout all of New York City, the sooner you reach out to our law firm, the sooner we can begin your journey to financial recovery.
How Does Bankruptcy Work In New York?
Filing for bankruptcy in New York can provide you with debt relief and get you back on your feet. Like in other jurisdictions, in New York, the qualification requirements are contingent on the chapter that you choose to file under. Some common options for debtors are Chapter 7 bankruptcy, Chapter 11 bankruptcy, or Chapter 13 bankruptcy. When filing, your New York bankruptcy lawyer in Queens will guide you through the complex journey. Your attorney can help you fill out and file official bankruptcy forms, guide you through New York means test figures, connect you with credit counseling providers, and represent you in local bankruptcy court.
What Are The Different Types Of Bankruptcy?
When filing for bankruptcy, there are many options per The Bankruptcy Code or Bankruptcy Law. However, some types of bankruptcy are more commonly filed than others. For instance, Chapter 7 or Chapter 13 bankruptcy is generally filed by an individual, married couple, or those in a sole proprietorship business. On the other hand, Chapter 11 bankruptcy is typically used by larger businesses. Read through to learn about your different options and contact our law firm with any questions you may have. Having a general idea of what chapter may best suit you before our initial free consultation will help us develop a more efficient plan.
Chapter 7 Bankruptcy New York
The most common choice for individuals and small businesses, Chapter 7 bankruptcy, provides liquidation, which relieves the filer of the majority of their debts, this includes credit card debts, lawsuit judgments, rent, and medical bills. It should be noted that Chapter 7 is not without exceptions and does not absolve a filer’s student loans or child support. Once the debtor’s attorney files the initial paperwork, an “automatic stay” action against the debtor or the debtor’s property goes into effect. Essentially, the automatic stay bars all of the filer’s creditors and debt collectors from contacting the filer with any attempts to collect debts. During this time period, a filer can also avoid eviction and having their utilities shut off. In the event that a filer is evicted or has their utilities shut off, they are able to have these things repossessed. This automatic stay period is not a “free for all.” The filer and their attorney will be required to fill out necessary forms and might be ordered by the court to attend courses.
Chapter 11 Bankruptcy New York
Unlike Chapter 7, Chapter 11 is typically reserved for businesses. However, individuals may, at times, choose to file under Chapter 11 in particular circumstances. Chapter 11 bankruptcy provides a means of restructuring; a company restructures itself per the agreement between the debtor and creditors. This process is continuously monitored by both parties to ensure transparency and satisfaction. Moreover, a court-appointed official may be appointed to control the business during the restructuring process. Like the continual monitoring by both parties, the court-appointed official’s role is to ensure transparency, the adherence to the agreed-upon plan, and satisfaction of all court requirements.
An attorney will usually propose Chapter 11 bankruptcy if the business has a high likelihood of recovering from their current financial woes. However, if the business is beyond saving, the attorney will more likely be inclined to recommend filing for Chapter 7 bankruptcy.
Chapter 13 Bankruptcy New York
Comparable to Chapter 11, Chapter 13 bankruptcy also provides a means of restructuring but is usually opted for by individuals, rather than businesses. Chapter 13 bankruptcy allows a debtor to retain their assets and provides the debtor with the opportunity to reach a new agreement with their creditors. Like Chapter 11, under Chapter 13, a detailed finalized plan will be created by the creditors, debtor, and the court, before moving forward with the new proposed plan. An additional benefit to filing for Chapter 13 bankruptcy is that it protects any co-signers that a filer may have on their debts.
What Are Bankruptcy Red Flags To Look Out For?
It goes without saying, filing for bankruptcy is a complicated process. Although some actions may seem innocent to the filer, they may raise red flags to the courts or creditors. Having an experienced law firm working on your bankruptcy case will help you avoid suspicion for fraud when filing. Here are a few bankruptcy red flags to avoid.
- Do NOT hide assets, income, or anything else for that matter. While a debtor may have no ill will and is simply under the impression that it is not necessary to present information, it is always better to err on the side of caution. If you are in doubt, share the information with your bankruptcy attorney. Your lawyer will then inform you on how you should proceed.
- Do NOT transfer assets. Now is not the time to transfer assets. Although your intentions may not have any malicious intent, transferring assets before, during, or after proceedings will arouse unwanted suspicion.
- Do NOT delay proceedings. Unnecessarily delaying the bankruptcy process may often lead to the trustee becoming suspicious.
- Do NOT provide inconsistent information. Even though it might be an innocent small mistake, conflicting information, such as a social security number listed incorrectly or bounced checks, might arouse suspicion.
How To Choose The Right Bankruptcy Attorney For You
Bankruptcy provides debtors with a much needed fresh start from their pressing financial situations. Choosing the right bankruptcy lawyer for you is crucial. When meeting with your bankruptcy attorney during the initial free consultation, be prepared to answer questions like:
- Who do you owe?
- How much do you owe each party?
- Do you have significant assets? If so, what are they?
- Do you have property facing repossession or foreclosure in the near future?
- What are your goals for filing this bankruptcy case?
A reputable bankruptcy lawyer who has years of experience in the business will learn from these questions. From there, the lawyer will devise a plan to mitigate potential issues, present you with viable and informed options, and provide you with an ease of mind for your financial future. The Law Doctor is here to provide you with the confidence and expertise that you deserve.
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