Lake Station Bankruptcy Attorney

Lake Station Bankruptcy Attorney

“We’ve Been Helping People from Merrillville and Northwest Indiana Get Out of Debt for 20 Years”

Lake Station Bankruptcy Attorney

Although filing for bankruptcy may feel like a last resort, it is often the best way to discharge debts and move on with your life. Unfortunately, the filing process is complex, which can have serious consequences for those who are filing without the aid of an attorney. To ensure that you comply with all procedural requirements and file your claim on time, you should consider speaking with an experienced Lake Station bankruptcy attorney who can assist you.

Filing Process

Declaring bankruptcy is more difficult than most people think, as filers are required to take a series of procedural steps before their claim will be processed and approved. For instance, those who are considering filing for bankruptcy must gather a substantial amount of financial documentation, including records of:

  • Current income sources;
  • Monthly living expenses;
  • Both secured and unsecured debts;
  • All assets and possessions; and
  • All tax returns filed within the the two years.

Filers should also include any deeds to real estate that they own, as well as titles to their vehicles, and loan records. Once these documents have been collected, the applicant must file a two-page petition, in addition to a series of other forms, at which point the applicant’s income and expenses will be analyzed under the means test, which compares a person’s average income for the previous six months to the median income for Indiana. If the income falls below the median, an applicant can choose to file for Chapter 7 bankruptcy. If, on the other hand, a person’s income exceeds the median, he or she may be required to file for Chapter 13 bankruptcy.

Once bankruptcy paperwork has been filed, an automatic stay will immediately go into effect, which prevents creditors from directly contacting the petitioner and also stops any foreclosure proceedings.

Requirements for a Chapter 13 Bankruptcy

Those who qualify for Chapter 13 bankruptcy are also required to submit a repayment plan, under which an applicant agrees to pay outstanding bills after monthly expenses have been covered. Priority claims, such as taxes and back child support must already be paid, while debts that are unsecured, such as credit card debt or medical bills can be paid in part. Furthermore, all disposable income must be paid into the plan for a minimum of three years.

Chapter 7 Bankruptcy

Filers who qualify may be able to apply for Chapter 7 bankruptcy, which essentially wipes out a person’s debts. Petitioners who have their claims approved will have their assets liquidated and sold, with the exception of exempt property. The net proceeds of the sale are then distributed to creditors. The following types of assets are considered exempt and can be protected from creditors:

  • Real or personal property used as a residence;
  • Life insurance policies;
  • Property belonging to a business partnership;
  • Public or private retirement benefits;
  • Health aids; and
  • Workers’ compensation benefits.

Those who file for Chapter 7 bankruptcy can also keep certain secured debts by signing a Reaffirmation Agreement. However, reaffirmed debts cannot be erased through bankruptcy for at least another eight years.

Finally, anyone who files for bankruptcy must undergo credit counseling within six months before petitioning the court for relief and complete a financial management course after the filing process has concluded.

Contact an Experienced Lake Station Bankruptcy Attorney Today

If you are considering filing for bankruptcy and don’t know where to start, please contact the Law Office of Kevin M. Schmidt, P.C. at 219-756-0555 to schedule a free one-on-one consultation with a dedicated attorney who can evaluate your case.

Schedule A Free Consultation

At the Law Office of Kevin M. Schmidt, P.C., we offer a free consultation during which we will examine the facts of your case and advise you on how best to proceed

Our Phone Number219-756-0555
Contact via Emailinfo@kmslawoffice.net
Our Location200 E. 80th Place
Suite 110
Merrillville, IN 46410
Copyright 2018. All rights reserved | NUVEW
We are a debt relief agency. We help people file for bankruptcy relief under the bankruptcy code. This information is designed for general information only. The information presented should not be construed to be formal legal advice nor the formation of a lawyer/client relationship. Past results and testimonials are not a guarantee, warranty, or prediction of the outcome of your case, and should not be construed as such. Past results cannot guarantee future performance. Any result in a single case is not meant to create an expectation of similar results in future matters because each case involves many different factors, therefore, results will differ on a case-by-case basis.