Bankruptcy Attorney in New Haven, CT

Bankruptcy Attorney New Haven, CT

A bankruptcy attorney in New Haven, Connecticut can help if you’re in serious financial trouble. Most people don’t plan on what to do if they’re facing bankruptcy, so it can be an overwhelming process for many once they start filing the paperwork required to get them out from under serious debt. Knowing the right steps to take to ensure that your experience goes well without an issue is critical. Due to the complexity of the bankruptcy process, having guidance from a bankruptcy lawyer can make a huge difference in the success of your case. Everyone has their own reason to declare bankruptcy, and every case is different: but is it really a solution for people who can’t get clear from their debts?

Understanding Your Debt Relief Options

Bankruptcy is just one of many forms of debt relief that people can consider if they are dealing with financial struggles. In addition to bankruptcy, other solutions include debt consolidation and debt settlement. Figuring out which option is the best solution for your financial problem can be tough without a lawyer to turn to for advice. Meeting with a skilled bankruptcy attorney who can provide an in-depth evaluation of your financial struggles can help you make the most informed decision and make you feel assured throughout the process. Each solution has various pros and cons, but if you choose the one that is best for you, you can be on your way to achieving financial freedom. 

 If You’re Considering Bankruptcy, These are The Questions You Should Ask

While exploring the option to file for bankruptcy is hardly a welcome occurrence, it can be worthwhile to remember that it is an effective means to rid yourself of bothersome creditors and finally regain control of your financial future. Still, you definitely want a proven bankruptcy attorney in New Haven, CT on your side so that you can navigate the process as seamlessly as possible. The Law Offices of Ronald I. Chorches are among the most reputable and trusted bankruptcy lawyers in the state. They have the resources, knowledge, and experience to advocate for you during the legal process. If bankruptcy is an option that you’re considering, your first step should be to consult with an attorney. Your next step should be to educate yourself on the basics of the process to determine what filing status best suits your situation.

Individual or Business Entity?

The United States Bankruptcy Code defines three filing statuses. Chapter 7, Chapter 11, and Chapter 13. While they each carry their own set of circumstances, the first thing is to understand is who is allowed to file. If you are filing as an individual, you have the most options at your disposal. With the help of a bankruptcy attorney in New Haven, CT individuals can file under any status, although Chapter 7 and Chapter 13 are far more commonly used than Chapter 11. If you are filing as a business entity, your only options will be Chapter 7 and Chapter 11. There is one exception though. Sole proprietors consulting with the Law Offices of Ronald I. Chorches will find that Chapter 13 is still available to them. 

Liquidation or Reorganization 

Once the Law Offices of Ronald I. Chorches have advised you on which filing statuses are available to you, the next step is to determine how you wish to satisfy your creditors. Filing statuses fall into two categories: liquidation and reorganization. Liquidation will require you to sell your assets to pay your debts and is only available under Chapter 7. Reorganization allows you to negotiate a court-supervised repayment plan based on an assessment of your income and outstanding debts. Liquidation will typically satisfy your creditors sooner but at the cost of some property and holdings. A reorganization plan will allow you to keep these things but comes with a more protracted timeframe. 

While assessing your personal circumstances is important, the critical piece is consulting with an experienced attorney who knows the system inside and out. Be sure and get the Law Offices of Ronald I. Chorches on your side before filing.

Can I File for Bankruptcy Without Losing My Property?

The notion of filing for bankruptcy can sound scary. However, one should understand that bankruptcy is a strategy to get your finances under control. It is a court-supervised process that satisfies your creditors and allows you to settle your debts. Still, many are reluctant to contact a bankruptcy attorney in New Haven, CT because they are afraid of potential consequences. Specifically, potential filers have concerns about losing their property. To address this concern, The Law Offices of Ronald I. Chorches educates their clients on the different approaches to bankruptcy. There are several different bankruptcy settlements and each one has different implications. Here’s what that means for your property.

Liquidate or Reorganize?

When you contact a bankruptcy attorney in New Haven, CT, your goal is to get the creditors off of your back. Bankruptcy law provides two main avenues to achieve this. The first is to liquidate your holdings under Chapter 7. Chapter 7 bankruptcy will require you to sell your eligible assets in order to satisfy your creditors. The Law Offices of Ronald I. Chorches is quick to remind clients that there are specific regulations on which property is eligible for liquidation. There are some things that the creditors can not touch.

While they are governed by different eligibility requirements, Chapter 13 and Chapter 11 bankruptcies are both reorganization procedures. This means that you will not be required to liquidate any property or assets. Instead, you will be placed on a court-supervised payment plan. 

Working with an attorney will allow you to assess your situation, and develop a strategy to satisfy your creditors. If your goal is to settle your debt quickly, liquidation has advantages. However, if you are opposed to selling any property, you may consider reorganization if you are eligible. 

Bankruptcy Can Stop Foreclosure 

For most Americans, their home is their biggest asset. While it may sound surprising, bankruptcy can actually be a strategy to prevent foreclosure on your home. You will need to consult with an attorney to get an accurate assessment of the situation, but failing to do so out of fear of losing property may actually cost you in the long run. 

The Verdict: It Depends 

The question of losing property in a bankruptcy proceeding is not a hard yes or no. It depends on your circumstances and the vision you have for the future. Two things are certain though. First, choosing liquidation does not mean that everything you own is on the table. Secondly, a qualified attorney is your best bet for navigating bankruptcy successfully.  

Reasons To File For Bankruptcy

In many cases, bankruptcy is a result of unexpected financial hardship. It can occur for reasons beyond out of control debt. A sudden emergency medical bill or loss of a job can upend a person’s life. Things happen in life that cannot be anticipated. Bankruptcy, in many cases, is out of a person’s control. When people are faced with financial challenges, they may have to be forced to make a difficult decision and bankruptcy may be one of them. 

Contrary to popular belief, anyone can find themselves in a position where bankruptcy is the only way to bring financial relief. It is in no way a reflection of a person’s ability to be financially responsible or a failing of their character. Having to file for bankruptcy does not mean that you are a bad person. Debt issues can affect anyone, no matter how responsible they might try to be with their money. Sometimes, it is a case of bad luck and timing. Every person who files for bankruptcy has a unique financial background, so each case will look different and is dependent on various circumstances. 

The Pros and Cons of Declaring Bankruptcy

The initial benefits of declaring bankruptcy are pretty straightforward. Over time, we build up various debts, and if they become too much, it can be impossible to get out of such a tight bind – no matter how much we work and how much we pay off every month. Filing for bankruptcy is a way out, and it can be an incredible relief once your debts are cleared and you can start over from a clean slate.

However, after you file for bankruptcy, you’re not out of the woods completely. Although bankruptcy is a way out from crushing debt, it can seriously damage your credit, which is difficult to build back up. This blow to your credit will make it difficult for you to apply for loans, purchase a house, and even apply for jobs in the future. Certain types of bankruptcy will stay in your name for up to ten years, so before you jump into filing for bankruptcy, it’s important to weigh the pros and cons. You should be as informed as possible, and that means getting familiar with bankruptcy, and having professional assistance from a bankruptcy attorney in New Haven, CT.

Getting Familiar with Bankruptcy

When it comes to personal bankruptcy, there are two common options you can take. You might have heard of different chapters, or types of bankruptcy, and there are several to keep track of. Some are only available for certain businesses (Chapter 11 is for company reorganizations, chapter 12 is for family-owned farms and fisheries) but in cases of an individual filing for bankruptcy, Chapter 7 and Chapter 13 are the most common.

  • Chapter 7: Also referred to as “liquidation bankruptcy”, Chapter 7 bankruptcy means your assets will be sold off, and the money from selling (or liquidating) your assets will be used to pay off your creditors. When people use the term asset, they’re referring to all non-exempt property: cars, other homes, personal collections, and more.
  • Chapter 13: This is also called “reorganization bankruptcy”. Filing for Chapter 13 bankruptcy means you can hold onto your assets while you meet the requirements of a court-mandated payment plan.

Chapter 7 Bankruptcy

Chapter 7 bankruptcy is frequently referred to as “liquidation” bankruptcy. However, you should not let that term scare you off. Essentially, everyone who qualifies to file for Chapter 7 bankruptcy has a trustee assigned to their case. That trustee is empowered to sell any significant assets that the filer owns if those assets are not exempted via various provisions in the law. It is very important to understand that few filers end up having any of their assets sold by the trustee assigned to their case. This is primarily because only American households that are classified as “low income” are eligible to file for Chapter 7 bankruptcy and most low-income households are not flush with luxury property. Most of the time, it is really only luxury property (boats, extravagant electronic systems, etc.) that tends to be targeted by trustees for sale. The proceeds of these sales are used to repay the filer’s creditors. Non-luxury property (bedding, books, pets, furniture, etc.) tends to be classified as exempt under the Tax Code.

If you are concerned about whether any of your assets may be non-exempt and targeted for sale in the event that you choose to file for Chapter 7 bankruptcy, please contact our experienced New Haven, CT bankruptcy attorney at The Law Offices of Ronald I. Chorches for guidance.

If you do not have a great deal of property that could be liquidated by a trustee and you qualify to file for Chapter 7 bankruptcy, this opportunity could afford you a fresh start. Almost all unsecured debts are discharged at the end of this process—which only tends to take a few months to complete—so that you can begin rebuilding your financial foundation without a mountain of debt weighing you down.

Chapter 13 Bankruptcy

If you are not eligible to file for Chapter 7 bankruptcy (or this option isn’t right for your situation), you should schedule a risk-free consultation with our New Haven, CT bankruptcy attorney at The Law Offices of Ronald I. Chorches to discuss the possibility of filing for Chapter 13 bankruptcy. Unlike Chapter 7 bankruptcy, Chapter 13 bankruptcy does not feature “liquidation” as part of its process. Instead, filers are asked to create a manageable repayment plan for their debts. They are then required to stick to that repayment plan (paid in manageable monthly installments) for 3-5 years. At the end of a successful repayment period, the remainder of any eligible debts will be discharged.

Determining Which Chapter of Bankruptcy Is Right for You

Both Chapter 7 and Chapter 13 bankruptcy have their advantages and drawbacks. As a result, neither option is right for every circumstance. When you schedule a risk-free consultation with the experienced Connecticut legal team at The Law Offices of Ronald I. Chorches, we can help you to determine which option—or which bankruptcy alternative—is right for your unique situation. In either case, you will benefit from the automatic stay attached to personal bankruptcy, which means that almost all collections actions against you will need to stop for the duration of your bankruptcy case.

Financial Recovery After Filing For Bankruptcy

The good news is that bankruptcy is not going to be a permanent stain on your record forever. While there are consequences to filing for bankruptcy, such as a reduced credit score, many people can begin rebuilding their credit and make positive gains soon after filing for bankruptcy. In fact, for many filers, they have found that their credit score has increased to a higher amount than their previous one before filing. After bankruptcy, there is new hope and opportunities for you to pursue financial stability and freedom. As long as you keep track of your finances, make your payments on time, and work on making good habits to manage your debt you can accelerate your recovery.

Contacting a Bankruptcy Attorney

Whatever the type of bankruptcy you’re dealing with, it pays to get in touch with a professional. A bankruptcy attorney can walk you through the entire process (filing for bankruptcy is much more easily said than done) and can even help you decide which type of bankruptcy is right for you. Getting in touch with a qualified bankruptcy attorney can make a normally painful process go much smoother, and you’ll have an important resource for all the information you’ll need about your case.

At the Law Offices of Ronald I. Chorches, we understand that filing for bankruptcy is an especially difficult time for you. Every case is different, and there are many reasons you might file for bankruptcy: that’s why we provide personalized case management to all our clients, and are dedicated to making sure you have all the information you need while you go through your bankruptcy.

Before you commit to bankruptcy as your debt relief solution, schedule a consultation with an experienced and reliable bankruptcy attorney that you can trust. If you need to get out from under debt, contact a bankruptcy attorney in New Haven, CT that you can trust – reach out to the Law Offices of Ronald I. Chorches today.

3 Questions You Should Ask Your Bankruptcy Attorney

The Law Offices of Ronald I. Chorches know how difficult it can be to consider bankruptcy. Crushing debt can become unbearable, especially if you’ve spent years trying to pay it off with no relief in sight. Bankruptcy can have serious consequences for your future financial goals like buying a house, so it’s not something to consider lightly. If you’ve decided bankruptcy is a serious option for you, here are some questions you can ask your potential bankruptcy attorney in New Haven, CT.

1. What Fees Should I Anticipate?

When you’re going to court because of your financial troubles, lawyer fees can be a big obstacle. They are aware of this, and will likely have procedures in place specifically for bankruptcy cases. Every bankruptcy attorney in New Haven, CT will have their own way of collecting fees, but it will largely depend on the type of bankruptcy you want to file for. Some lawyers will not take the case until the retainer is paid, but will allow a payment plan for some individuals.

2. What Kind of a Timeline Can I Expect?

Pressing debt can wreak havoc on your life, so filing quickly is a need for many clients. The better organized your financial documents are, the easier it will be to draft the necessary paperwork, sign, and file for bankruptcy. It can be difficult to pinpoint exactly how long the process will take, but your lawyer can inform you of any potential issues.

3. What Bankruptcy Type Should I File For?

If you’re an individual filer, Chapter 13 and Chapter 7 are likely going to be the types of bankruptcy you’ll be able to consider. Chapter 13 won’t require you to give up any property but will involve a fairly short timeline to pay off your debts with a repayment plan. Many attorneys will accept a payment plan for their fees in this case. Chapter 7 will involve giving up your property unless it is considered exempt. If your income is high enough, you won’t be able to simply wipe out your debt and start over, and your attorney will tell you this during your consultation.

Bankruptcy isn’t an easy decision to make, but a bankruptcy attorney in New Haven, CT can help you navigate your options quickly and easily. The Law Offices of Ronald I. Chorches have helped many clients get a fresh start without the crushing weight of debt.

Questions A Bankruptcy Lawyer May Ask You

Deciding to file for bankruptcy is a big decision, which is why you should consider hiring an experienced bankruptcy lawyer. They will know what information to look at to understand your circumstances and can advise you on your legal options. If you are looking for a bankruptcy attorney in New Haven, CT you should contact our team at the Law Offices of Ronald I. Chorches to set up a consultation. At your initial meeting, you should be prepared to answer the following questions and bring supporting documentation to ensure your attorney has a complete picture of your financial state. 

What types of debt do you owe? While bankruptcy is useful in a lot of circumstances, it doesn’t cover every form of debt. If you owe money for alimony, child support, income taxes, and student loans may not be forgiven through bankruptcy. If you need help understanding whether your debt can be forgiven through bankruptcy, talking with a bankruptcy attorney in New Haven, CT from a firm like Law Offices of Ronald I. Chorches will provide you with the clarity you need. 

What is the size of your debt? If your debts are relatively small, you will want to avoid filing for bankruptcy since it can affect things like  your credit score for years. Debt collectors can be relentless and threatening, which may make you feel like you need to pay them as soon as possible. However, in these situations you often have other alternatives that will address your small debts. On the other hand, if you owe a lot of money, your best recourse to get rid of your debt might be filing for bankruptcy. 

How long have you been in debt and when you think you will be able to pay it off? If you have been in debt for a long time and will not be able to pay back the money you owe sometime in the near future, filing for bankruptcy might be the best choice for you. Bankruptcy can allow you to get a fresh start and end the constant calls from bill collectors. That being said, if your situation has only recently changed and you are only now unable to pay off your debts, you may want to find alternative paths to handling your debt. While it can be scary when your financial circumstance suddenly changes, sometimes waiting to see if you can find a new job or reorganize your debt, can be the better option.

Where does your income come from? When you declare bankruptcy, your current income can be considered an asset and be used to pay off your debt. But if your source of income comes from unemployment, social security, or welfare, debt collectors will not be able to seize your income. Keep in mind though that if you own property, a car or a house, these assets might be claimed by collectors. 

An attorney will consider the answers to these questions and others to determine whether bankruptcy is a good course of action for you, and if so, what type of bankruptcy will benefit you the most. If you are looking for a bankruptcy lawyer in New Haven, CT with years of experience, search no further. Our attorneys at the Law Offices of Ronald I. Chorches are ready to help you. Call us today to set up a consultation. 

Common Myths About Bankruptcy

If you are drowning in debt, bankruptcy may be the right option for you. However, you may have heard many untruths about bankruptcy that are making you reluctant to file. Here are some common bankruptcy myths that you should not believe.

  • If you file for bankruptcy, you can’t ever get credit again. This is one of the most common fears among people who are considering filing for bankruptcy. While it is true that your credit rating will take a hit after you file for bankruptcy, it won’t be tarnished forever. In fact, you can start rebuilding your credit right after your bankruptcy is complete. You can start out by applying for a secured credit card and rebuilding your credit from there.
  • You can’t file individual bankruptcy if you are married. If you are married, you have the option of filing for individual or joint bankruptcy. If you and your spouse have many joint debts together, it may make sense to file for joint bankruptcy. On the other hand, if you just got married and have your own debts, a bankruptcy attorney in New Haven, CT may advise you to file for bankruptcy individually. 
  • Only financially irresponsible people file for bankruptcy. Unfortunately, there is still some stigma behind those who file for bankruptcy. Others may view them as financially irresponsible and believe they are trying to take advantage of the system. However, many people who file for bankruptcy are hardworking. They may have just lost a job or had unexpected medical expenses.
  • If you file for bankruptcy, you will lose your property. Some people worry that they will lose everything they own if they file for bankruptcy. Fortunately, however, most people who file for bankruptcy don’t lose any property. If you agree to pay back some of your debt through Chapter 13 bankruptcy, you may be able to keep all of your property.
  • You don’t need a lawyer to file for bankruptcy. When you are struggling financially, you may wonder if you should forgo hiring a bankruptcy lawyer. While you are not required by law to hire a bankruptcy lawyer, it is in your best interest to do so. A skilled lawyer can help you file the paperwork accurately and within the deadline, inform you of all your options and improve your chances of a successful outcome.