new jersey chapter 7

Filing for bankruptcy under Chapter 7 of the bankruptcy laws is a good option for some people, if their assets and debts fit the requirements for a Chapter 7 filing. One of the ways the bankruptcy courts determine whether a person is eligible for a Chapter 7 bankruptcy is through means testing. Means testing looks at the filer’s financial situation and determines whether they fit the requirements for Chapter 7.

Means testing usually begins when the filer, often with help from their attorney, files bankruptcy form 22A, titled “Statement of Current Monthly Income and Means Test Calculation.” The form asks for several different items of information, including the filer’s monthly income, the size of the family and its needs, the median income where the filer lives, and various other pieces of tax information. The person filing the form will have some of this information in their own records, but other items must be obtained from the Census Bureau or the Internal Revenue Service (IRS).

Since means testing paperwork helps determine whether an individual can file under Chapter 7 or not, it is important to ensure that all the information on the form is as complete and accurate as possible. Experienced bankruptcy New Jersey attorney Robert Manchel has helped other clients complete these forms and help them navigate through the personal bankruptcy process. To learn more about how Robert Manchel’s skills and experience can help you, call 866-503-5655 today.

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Filing for bankruptcy under Chapter 7 of the federal bankruptcy laws is the right choice for many debtors, especially those with few assets apart from their personal belongings. Since a Chapter 7 bankruptcy seems simpler than filing for a Chapter 13 bankruptcy, many people may be tempted to try carrying out their bankruptcy case on their own. However, the U.S. Bankruptcy Courts in New Jersey strongly recommend that anyone considering a Chapter 7 filing work with an experienced bankruptcy attorney to ensure the process is completed correctly.

An attorney with bankruptcy experience can tell you whether Chapter 7 is in fact the best option for you. If it is, the attorney can also make sure that you meet all the requirements before beginning the bankruptcy process. For instance, debtors filing for Chapter 7 bankruptcy must first go through credit counseling with an approved credit counseling agency, or their cases may be dismissed. If you are eligible to skip credit counseling because you fit one of the specific exceptions in the bankruptcy laws, your attorney can advise you, and explain your situation to the court.

A highly skilled bankruptcy attorney will also make sure that all of the proper forms are filed and that they contain the right information. Forms that are filed too late or with missing information, can have serious consequences.

Experienced New Jersey Chapter 7 bankruptcy attorney Robert Manchel can help you choose the best course of action and avoid costly mistakes in court if you are facing bankruptcy in New Jersey. To learn more, call The Law Offices of Robert Manchel today at 866-503-5655.

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Many people do not realize that there are multiple ways for an individual to file for bankruptcy in the state of New Jersey, depending on an individual’s assets and income. The Chapter 7 bankruptcy process takes about five months from the filing until discharge. If the debtor meets all of the criteria, all unsecured debt is discharged (eliminated). In a very small number of cases, the trustee may liquidate assets, if the debtor owns certain assets with a substantial value.

On the other hand, chapter 13 bankruptcy requires an individual to pay a monthly payment to a trustee for a period of thirty six to sixty months. The monthly payment is based on asset values, monthly income and expenses. A debtor may file under chapter 13, instead of a chapter 7, for various reasons, such as the inability to meet the chapter 7 criteria or to save a house from foreclosure. Chapter 13 requires a debtor to pay to a trustee all disposable income for the entire plan period. A chapter 13 may permit an individual to eliminate all unsecured debt, like a chapter 7, in addition to providing other benefits.

While many people adopt the approach that filing for bankruptcy in New Jersey will ruin their credit score, they fail to realize that large amounts of debt can wreak havoc on one’s ability to obtain credit. Although bankruptcy will negatively affect a credit score, an individual who obtains a chapter 7 or chapter 13 discharge may reestablish and repair their credit, within a reasonable time period. While filing for bankruptcy is not necessarily an option for all people, it is the most viable option for some.

In order to determine whether or not filing for bankruptcy in New Jersey is right for you, it may be in your best interest to retain the services of an experienced New Jersey bankruptcy attorney who will examine your financial situation and help you make the best decision. At the Law Offices of Robert Manchel, our legal team will walk you through the bankruptcy process, ensuring that you understand every detail along the way. To find out more about filing bankruptcy in New Jersey, call us today at 866-503-5655.

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