Realizing The Full Benefit Of Bankruptcy Protection

Bankruptcy benefits different people in different ways, but there are three essential benefits that just about everyone experiences under bankruptcy protection. These include the automatic stay that provides immediate protection from creditor collections, the right to exempt assets from creditor claims, and the opportunity to obtain a discharge of various kinds of debt upon the completion of your case.

To learn about the ways you stand to benefit from these features of bankruptcy, and to see whether any other provisions of the Bankruptcy Code can provide additional relief in your situation, contact a New Jersey consumer bankruptcy attorney at Purrazzella & Purrazzella, P.A., in Toms River.

Learn About The Ways Bankruptcy Relief Can Help You

Whether your case concerns a Chapter 7 filing or Chapter 13 filing, you'll be sure to appreciate the impact of the bankruptcy's automatic stay. As soon as your petition is filed, your creditors are unable to take any steps of any kind to enforce a claim against you. This includes lawsuits, mortgage foreclosure, garnishment, asset seizure, letters and phone calls. Holders of secured claims such as mortgages or car loans can sometimes seek the bankruptcy court's permission to resume certain kinds of collection activity, but the phone calls and harassment will definitely come to a stop.

Another powerful benefit of bankruptcy concerns the debtor's ability to declare certain assets exempt from the claims of creditors. In other words, you won't need to turn over exempt property to pay down debts. Our ability to explain exemptions and analyze their applicability in your case can help you choose between Chapter 7 and Chapter 13, plan the timing of your bankruptcy case, and avoid mistakes prior to bankruptcy, such as using a 401(k) account to pay down dischargeable debt.

For most people, the ultimate goal of bankruptcy is to achieve a discharge of unsecured debts, including credit card obligations, medical bills, personal guarantees of business debt, and even certain tax debts. Once you receive your discharge, you will never need to pay the debt back. Chapter 7 debtors will usually receive their discharge about six months after filing the petition, and Chapter 13 debtors get the unpaid portion of their general unsecured debts discharged after completion of the repayment plan.

Decades Of Bankruptcy Experience Practicing In Ocean County And Monmouth County

At Purrazzella & Purrazzella, P.A., our lawyers can give you a specific understanding of each of the ways you stand to benefit from bankruptcy under Chapter 7 or Chapter 13. For a free consultation with an experienced New Jersey bankruptcy attorney, contact us in Toms River by calling 732-691-4589 or toll free at 888-825-9980.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.