Legal Question in Bankruptcy in New York

Re: bankruptcy chapter 7

Chapter 7 bankruptcy is designed to help people who are unable to pay their existing debts. This is the most common type of bankruptcy.

With a Chapter 7 filing on Long Island, you can totally eliminate or "discharge" most typical consumer debts including:

� Credit cards

� Personal loans

� Checking account overdrafts

� Certain tax debts

� Medical bills

� Utility bills

When you file a Chapter 7 bankruptcy in New York, you are allowed to keep certain possessions that are "exempt." Exemptions are laws which indicate what assets you can keep and protect.

Some of the more common assets that you can keep are:

� Bank accounts with a total value of up to $2,500

� Automobiles with total equity of up to $2,400

� Household furniture and personal possessions with a value of up to $5,000

� Retirement and pension accounts

� Homes with a total equity of up to $50,000

While there are limitations to these exemptions, most consumers we help are able to keep all of their belongings while reducing or eliminating their debt. We represent many clients who are able to discharge all of their credit card debt in Chapter 7 and keep their home, cars and all of their possessions. If you have non-exempt assets, you may still be able to keep them in a Chapter 7 proceeding by having us negotiate a settlement with the trustee. Unfortunately, not every debt can be discharged.

Debts that cannot be discharged include:

� Most taxes

� Child support, maintenance, alimony, and most matrimonial settlements

� Debts obtained through fraud or false pretenses

� Court-ordered fines and criminal restitution

� Most student loans

Please check out our website for more information and feel free to contact us to schedule an appointment.

http://www.bankruptcycanhelp.com