Types of Bankruptcy

Chapter 7 and 13 Bankruptcy Lawyer Serving Kane County, Illinois

Deciding to file for bankruptcy is just the beginning of the process. You must also determine under which chapter you should file, and this will vary depending upon your eligibility to file a Chapter 7 case or whether Chapter 13 may be the better option for you. Kane County bankruptcy attorney Joseph Doyle offers a free initial consultation, giving debtors the opportunity to learn more about bankruptcy in order to make a well-informed decision about their case.

There are several different chapters of the U.S. Bankruptcy Code under which a person may file. The type of debtor (individual, corporation, partnership, etc.) as well as the income level of the debtor may affect what chapter the debtor may file under. For example, Chapter 7 bankruptcy is an option for individuals, partnerships and corporations, but Chapter 13 is allowed only to individuals. Chapter 11 is similar to a Chapter 13 reorganization but is used by larger businesses. Chapter 7 and Chapter 13 are the most commonly used types of bankruptcy:

• Chapter 7 involves a debtor surrendering nonexempt assets to the bankruptcy court for liquidation in order to pay creditors.
• Chapter 13 is a reorganization of debt, wherein a debtor will pay off a portion of his or her debt over a period of three to five years.
• The final outcome of both Chapter 7 and Chapter 13 cases is a discharge of all eligible, unsecured debt.

Kane County Bankruptcy Attorney

If you would like to learn more about bankruptcy and how it may affect you, take a moment to contact our firm for your free case evaluation. We can help you understand the specific benefits of the different types of bankruptcy, as well as what you may qualify for.

Contact the Law Office of Joseph P. Doyle today!