In today’s economy, many good and responsible people have excessive credit card debts, homes "under water" (mortgage owed more than value), and foreclosures resulting from job losses, illnesses and divorce. It is overwhelming and frightening. No one intends to be in this situation, but you cannot ignore the debt problem. You have to be proactive. There are solutions to these problems. One solution may be filing for bankruptcy. The first important step is to choose an attorney to assist you in the evaluation of your situation and who will honestly give you the options. Bankruptcy sometimes is the appropriate choice to get a fresh start.

At Helfand & Associates, our firm represents individuals and small businesses throughout New Jersey in filing for bankruptcy. When you are insolvent, bankruptcy is a Federal Court process designed to discharge debt or part of your debt. The process helps to relieve you of your debt load and enables you to regain financial stability and get “better future”.

Our bankruptcy lawyers will assist you in reviewing your finances, which includes a thorough evaluation of your income, assets and debt in order to recommend the form of bankruptcy or alternative resolutions most suited to your circumstances.

The U. S. Bankruptcy Code defines numerous types of bankruptcy. Chapter 7 and Chapter 13 are the two most common types of bankruptcy for individuals and individuals with businesses.

Chapter 7, also referred to as liquidation, is used when an individual has credit card debt and other unsecured bills, and few assets or assets with low equity. The new federal law has established specific income and asset guidelines to file for Chapter 7 bankruptcy. You can keep a significant amount of exempt property through the bankruptcy process, while still discharging your debts. There are many circumstances where you can keep your home, vehicle and other assets despite filing a Chapter 7 bankruptcy. While Chapter 7 helps you eliminate debts, there are certain debts, which are not eliminated, including money you owe the IRS, alimony, child support, student loans from the government to name a few.

A Chapter 13 bankruptcy is generally the choice of individuals that have assets and a regular income. Chapter 13 allows you to repay debt based on the income stream and/or value of assets. You also can get rid of certain debts you cannot in Chapter 7. Under a Chapter 13, you will repay at least a portion owed to your creditors, making payments set up under a plan, usually over a period of 3 or 5 years.

When you are struggling under an unmanageable debt load, and need legal advice concerning bankruptcy, call Helfand & Associates in our Whippany office at (973) 428-0800 to arrange an appointment. Our attorneys will help determine if you meet the qualifications to file for bankruptcy or have some other alternative to resolve your debt issue.