Will filing bankruptcy through a Kinsman bankruptcy lawyer help me? Bankruptcy will help most people who are struggling financially. It really depends upon what your particular debts are in terms of what Chapter of the bankruptcy code you’ll benefit by. If you are someone who has unsecured debt such as credit card bills, medical bills, personal loans and debts for any kind of service then filing Chapter 7 bankruptcy is likely going to be your best option under the bankruptcy code.
If on the other hand you have a lot of property and the types of debts that you have are non-dischargeable debts such as student loans, recent taxes, parking tickets, child support, maintenance payments then Chapter 13 is likely going to be your best bet under the bankruptcy code.
For most people who come to see me there is a solution to their financial problems. For 75 percent of people who see me, Chapter 7 Fresh Start Bankruptcy is my recommendation. For 25 percent of the people who come to see me, Chapter 13 Debt Reorganization is the better of the bankruptcy options.
Every once in a while there are cases where I simply cannot help the individual. Although these cases are rare they do occur. What I like to refer to these cases is they are simply ‘betweeners.’ They are not able to do a Chapter 7 and they are not able to do a Chapter 13. Their problem lies somewhere in between those two Chapters and the bankruptcy code does not provide a remedy for those.
An example would be if someone has unsecured debt but they have way too much in terms of property; that person would not be able to file a Chapter 7 bankruptcy without losing the property. At the same time this person does not have the ability to repay over time because their income does not exceed their assets; thus, they are not capable of really doing a successful Chapter 7 and they certainly are not capable of doing a successful Chapter 13. These cases are rare though. For most people there is a solution, either Chapter 7 or bankruptcy Chapter 13.
Most people wait too long to come to see me. Most people struggle for years and years before they actually get the initiative to talk to a bankruptcy attorney. In many cases people make mistakes prior to filing for bankruptcy. Some people liquidate all of their retirement in an effort to get out of debt only to realize that their retirement account was not sufficient enough to pay off all of their debt. This is a mistake because under Chapter 7 bankruptcy law you, as the person claiming bankruptcy, could have protected all of your retirement account free and clear while getting out of debt.