Bankruptcy

Get back on track with a positive step toward restoring financial independence.

As a federal statutory law, bankruptcy litigation works to reduce or eliminate debt. Bankruptcy proceedings assist with creating a secure repayment timeline. Our firm can help to negotiate dischargeability of debt, discovery of assets and judgement collections.

Filing Adversary Proceedings to: Determine Dischargeability of Debt; Deny Discharge; or Dismiss the Bankruptcy Case
Filing of Motions for Relief from the Automatic Stay
Engaging in Discovery for Creditors and Conducting Debtor Examinations

Engaging in Judgment Collection
Filing of all pre-trial and post-trial Motions and Conducting Trials
Filing and Monitoring Proof of Claims
Monitoring Bankruptcy Case for Discovery of Assets; Dismissal; or Conversions

Filing Objections to Debtor’s Exemptions
Filing Objections to Reorganizational Plans
Filing all Motions to Compel against Debtors
Engaging in Workout Agreements and other Debtor/Creditor Negotiations

"From the first visit we experienced feelings of relief that our situation could be turned around. Our attorney listened to our concerns and requests for what we hoped could be a fresh start to our finances. Our situation was not one of the easiest. Yet our attorney worked it out exactly as we had hoped!! Thanks to Pinnacle Legal, our family is back on track financially. We would recommend their services to anyone looking for relief and a fresh start."

Finch

Bankruptcy FAQ

Filing bankruptcy comes with many questions. Here are some of the most commonly asked questions about the bankruptcy process.

Chapter 7

Chapter 7 bankruptcy, also known as “liquidation,” is a legal process by which most unsecured debts can be discharged, or wiped out. Chapter 7 bankruptcy is known as liquidation because any non-exempt assets the debtor has may be liquidated (sold) by the trustee for the benefit of creditors. Many Chapter 7 bankruptcy debtors have no non-exempt assets, and so there is no liquidation, and unsecured debts are simply discharged. There are, however, certain unsecured debts that are not dischargeable in Chapter 7 bankruptcy.

Chapter 13

Chapter 13 bankruptcy is a full or partial repayment plan administered by the bankruptcy court. The debtor submits a plan for approval and, when a plan is approved, makes monthly payments to the bankruptcy trustee. The trustee makes payments to creditors in accordance with the terms of the plan. The repayment period may be from 3-5 years. At the end of the repayment period, if all payments have been made according to the plan, remaining unsecured, dischargeable debt may be discharged.

IS FILING CHAPTER 7 BANKRUPTCY RIGHT FOR ME?

To file for Chapter 7 bankruptcy, you must qualify under the Chapter 7 means test. The means test first compares your income to the median income in New York. If your income is lower than the median income in New York, you can file for Chapter 7 bankruptcy. However, if your income is greater than the median income in New York, other calculations regarding your income and allowable expenses are required to determine whether or not you can file for Chapter 7 bankruptcy.

IS FILING CHAPTER 13 BANKRUPTCY RIGHT FOR ME?

In one sense, it’s easier to qualify for Chapter 13 bankruptcy than for Chapter 7 bankruptcy. There’s no means test for Chapter 13 bankruptcy, and some debtors who cannot qualify for Chapter 7 bankruptcy opt to file under Chapter 13 bankruptcy instead. However, Chapter 13 bankruptcy requires a regular income that will allow you to create a budget and make predictable and reliable payments to the trustee.

IS CHAPTER 7 OR CHAPTER 13 BANKRUPTCY A BETTER SOLUTION?

The answer to this question depends on your specific circumstances. Generally speaking, Chapter 7 bankruptcy is better for people who have a lot of unsecured debts, like credit card debt and medical bills. If you don’t have much property, your income is low, and most of your debts are unsecured, you might want to consider Chapter 7 bankruptcy. Chapter 13 bankruptcy, on the other hand, tends to be a better option for those who have regular income and non-exempt property they’d like to keep.

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