Bankruptcy Lawyers in Jackson Heights, NY, Helping Clients Achieve Debt Relief and a Fresh New Start
Have you fallen into extreme amounts of debt and struggled to find your way out? Sometimes, in some situations, there is no way to crawl ourselves, or our businesses, out of debt by sheer will alone. Sometimes even no matter how hard we try, we always still end up owing more or never getting ahead. But one need not feel chained to this fate forever. An individual’s brief period of poor money decisions or unexpected bills should not destine them to a lifetime in debt.
It is possible to achieve some form of debt relief by filing for bankruptcy.
Bankruptcy should not be anyone’s first option, and if you’re having money troubles, then perhaps a legal or financial professional may be of assistance. But that does not mean that filing bankruptcy should not be considered. For a while, bankruptcy is commonly shamed in our culture today; it exists for a reason. Namely, bankruptcy exists because sometimes there simply is no other option for getting out of debt. Sometimes, the means of last resort is exactly the path we need to travel.
To explore your options with bankruptcy, it is highly recommended that you speak with attorneys experienced in bankruptcy law practice areas. At Ortiz & Ortiz, LLP, our lawyers have decades of experience helping individuals, small businesses, and big corporations sort out their debt and look for innovative solutions. Bankruptcy may or may not be the right option for you and your financial situation. In order to better determine your legal options, please contact our law offices to schedule a consultation.
Which Forms of Bankruptcy Are for Individuals in NYC?
There are many chapters under the bankruptcy code, but the two most common that pertain to individuals and their families in New York are Chapter 7 and Chapter 13.
Chapter 7 is a liquidation bankruptcy proceeding by which certain assets are seized and liquidated in order to pay off any outstanding debts owed to creditors, lenders, the government, and collection agencies. Chapter 7 bankruptcy eliminates the vast majority of unsecured debts, granting you a fresh financial start. Though some assets are at risk of being seized, many assets are exempt and shielded, and most clients lose very little if nothing at all.
With Chapter 13 bankruptcy, you will reorganize your debts and work out a repayment plan with your creditors, allowing you to pay off your debts over a period of three to five years. Chapter 13 bankruptcy is complicated, but it does allow you to retain your assets and work on rebuilding your financial structure with time.
Which Types of Bankruptcy Are Best Suited for New York Businesses?
For businesses large and small, the most commonly used forms of bankruptcy are Chapter 7 and Chapter 11.
Businesses that file for Chapter 7 bankruptcy are prepared to liquidate their assets as a means to pay off debts that have mounted up as a result of doing business. Going this route can resolve debts quickly, but in most cases, it will result in the closing of the business, sometimes for good.
With Chapter 11 bankruptcy, a business reorganizes its debts and commits to a plan to repay its creditors over a certain period of time. With this form of bankruptcy, the business is allowed to stay open and in operation, taking in profit, seeing to the needs of shareholders and employees, as well as a consumer base. Usually, Chapter 11 requires some scaling back and business restructuring, but the business can survive this bankruptcy and come out on top in the end. However, please note that Chapter 11 is the most complex and costly form of bankruptcy, so it is important to know all the relevant facts about bankruptcy code before filing for Chapter 11.
How Can Bankruptcy Help You?
One of the highlights that few people know about in bankruptcy is the ‘automatic stay,’ which is usually put in place by bankruptcy court early on after filing. The automatic stay provides protection for those filing for bankruptcy, blocking creditors and others from harassing you while your case is pending. The automatic stay can also put a stop to repossessions, foreclosures, wage garnishments, and certain lawsuits.
Some forms of bankruptcy, like Chapter 7, can discharge most personal debts, including costly medical expenses, personal loans, credit card debts, and car loan debts. With these debts eliminated, it is then possible to start with a clean slate.
In some cases, bankruptcy could even improve your credit score.
Contact the Attorneys of Ortiz & Ortiz to Learn More About Bankruptcy Law in Jackson Heights, NY
To better understand if bankruptcy is right for you and then which form of bankruptcy you should file for, please speak with attorneys experienced in bankruptcy code. Bankruptcy is a useful option for debt relief, but not everyone qualifies for every type of bankruptcy, and some people have assets that they’re not willing to lose. By speaking with a bankruptcy attorney, you will be more well-informed about what is exempt, what debts can and cannot be discharged, and when the best time to file may be.
At Ortiz & Ortiz, LLP, our bankruptcy lawyers have years of experience helping clients in Jackson Heights and all over New York City’s five boroughs. Our clients are working men and women of this great city as well as businesses both large and small. To speak with a member of our legal team, please call our law offices at 917-540-9772.