Are you currently considering bankruptcy in Indianapolis, IN, but you feel unsure about your eligibility? The good news for you is that most people who are experiencing difficulties in paying their debts with their current income level will be able to qualify to file either chapter 7 bankruptcy or chapter 13 bankruptcy in Indiana. The differences between chapter 7 bankruptcy and chapter 13 bankruptcy are very significant and thus it is quite important that you file the correct kind of bankruptcy for your situation.
Working with an experienced bankruptcy attorney like Thewrightlawgroupllc.com is an excellent way to make certain you are able to complete your bankruptcy paperwork properly and get your bankruptcy approved. Your attorney will ask you to bring in a list of the different creditors that you owe money to. Additionally, you will need to write up a budget that details the money that you make and how your money is spent each month. Usually, it will be fairly simple for anyone filing bankruptcy to demonstrate that their debts exceed their ability to repay the money owed.
If you do not have the financial resources to repay $6,000 or more of your debt in the next five years (after your documented regular expenses,) you will typically qualify for the chapter 7 bankruptcy. Anyone who wishes to file bankruptcy in Indianapolis, IN, but who is still able to repay $10,000 in unsecured debt (after your documented regular expenses) will not typically file chapter 7 bankruptcy but will rather file for chapter 13 bankruptcy.
Chapter 7 bankruptcy is a complete relief of all your unsecured debt, while chapter 13 bankruptcy will create a repayment plan for your debt that will allow you to get some relief while you catch up on the bills. Some people choose chapter 7 bankruptcy because it allows them to keep most of their assets while having relief from the unsecured debt, but others prefer chapter 13 bankruptcy because it allows for greater flexibility in the assets that you are able to keep. Your lawyer can help you determine which type of bankruptcy is best or your situation!
