Mariano & Coiro, P.C.
Over 30 years in Practice
Toll Free 800-800-9933
Local 732-249-7300

CAN BANKRUPTCY HELP ME IF MY HOME AND CAR PAYMENTS ARE UP TO DATE (OR ONLY SLIGHTLY BEHIND) BUT MY CREDIT CARD AND OTHER DEBT IS OUT OF CONTROL?

It's altogether possible that Bankruptcy can be effectively used to eliminate or reduce your credit card, medical bills or other debt (known as "unsecured debt"), depending upon your complete financial situation and the type of Bankruptcy you can file, while still allowing you to keep your house and car.
For example, if your home has little or no equity (i.e., the value of your home is not much in excess of what you owe), and depending upon your income, you may be able to file a Chapter 7 Bankruptcy, keep your home and car, and completely eliminate your other debts.
If your home has considerable equity, and/or your income is too high to qualify for a Chapter 7, you may still be able to file a Chapter 13 and reduce or even eliminate some of your other debts. The amount of debts you would need to re-pay, if any, in a Chapter 13, would depend principally upon your disposable monthly income, as determined by law. The re-payment period would be in a court monitored re-payment plan over 3-5 years. Even if you would be forced to make payments on your other debt, The Chapter 13 would "freeze" the debt as of the date of your filing. No further interest or penalties would accrue, and once you completed your Chapter 13 plan, any amounts still unpaid would be discharged/eliminated by the Court.
Let us examine your particular situation, FREE OF CHARGE, to properly advise you of your available options, and show you how the Bankruptcy laws can help. 

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