Types of Bankruptcy

Chapter 7 - This is the most common of the Bankruptcy proceedings for individuals.  Under Chapter 7 all applicable debts will be discharged.  Debts that are generally discharged in Chapter 7 include credit card debts, medical bills and other unsecured loans.  In other words, your debt will be wiped out.  However, in order to proceed with a Chapter 7 Bankrutptcy you will be required to pass a "means test".  The means test applies a financial limit and permits only those applications that fall below those standards.  Our office will work with you to determine if you qualify for Chapter 7 bankruptcy. 

Chapter 13 - If an individual or small corporation does not qualify for Chapter 7 bankruptcy, they may be eligible under Chapter 13.   Under Chapter 13, debts are not discharged, but payment plans are arranged for you to pay back the debt that is owed. 

Chapter 11 - Designed for larger corporations, Chapter 11 is a manner for corporations to reorginze and pay back their debt.