Get a Fresh Financial Start
Financial difficulties can happen to anyone. Unexpected medical bills, job loss, divorce, business setbacks, or overwhelming credit card debt can leave you struggling to keep up. Bankruptcy is a legal tool designed to give honest individuals and families a fresh financial start while protecting many of their assets.
At the Law Offices of Nicklaus Misiti, PLLC, we help clients throughout New York understand their options and determine whether bankruptcy is the right solution for their financial situation.
Is Bankruptcy Right for You?
If you are experiencing any of the following, bankruptcy may be worth considering:
- Overwhelming credit card debt
- Medical bills you cannot afford to pay
- Collection calls and lawsuits
- Wage garnishments
- Bank account restraints
- Foreclosure or mortgage arrears
- Vehicle repossession
- Personal loan debt
- Financial hardship after divorce
- Business debt
- Inability to pay monthly bills
Every financial situation is unique. We will carefully review your income, assets, debts, and financial goals before recommending a course of action.
Chapter 7 Bankruptcy
Chapter 7 bankruptcy allows many individuals to eliminate unsecured debts and obtain a fresh start.
A Chapter 7 bankruptcy may eliminate:
- Credit card debt
- Medical bills
- Personal loans
- Certain judgments
- Utility balances
- Deficiency balances after repossession
Many people are surprised to learn they are able to keep most or all of their property through available bankruptcy exemptions.
Chapter 7 is generally appropriate for individuals who qualify under the bankruptcy means test and who are seeking to eliminate unsecured debt.
Chapter 13 Bankruptcy
Chapter 13 allows individuals with regular income to reorganize their debts through a court-approved repayment plan.
Chapter 13 may allow you to:
- Stop foreclosure proceedings
- Catch up on missed mortgage payments
- Stop vehicle repossession
- Repay tax obligations over time
- Consolidate certain debts
- Protect valuable assets
- Pay creditors through an affordable monthly payment
Repayment plans generally last three to five years.
The Automatic Stay
One of the most immediate benefits of filing bankruptcy is the automatic stay.
In most cases, filing bankruptcy immediately stops:
- Collection calls
- Collection lawsuits
- Wage garnishments
- Bank levies
- Foreclosure proceedings
- Vehicle repossessions
- Creditor harassment
The automatic stay provides immediate legal protection while your bankruptcy case is pending.
What Debts Can Be Discharged?
Many debts may be discharged, including:
- Credit card debt
- Medical bills
- Signature loans
- Payday loans
- Personal judgments
- Older utility bills
Certain debts generally cannot be discharged, including:
- Most student loans
- Child support
- Alimony
- Most recent tax obligations
- Criminal fines and restitution
Whether a particular debt is dischargeable depends on the specific facts of your case.
Will I Lose My Home or Car?
Not necessarily.
Many people who file bankruptcy are able to keep their home, vehicle, retirement accounts, and personal belongings through federal or New York exemption laws.
Whether you can retain specific property depends on your assets, equity, and the type of bankruptcy filed.
The Bankruptcy Process
Our office will guide you through every step of the process, including:
- Reviewing your financial situation.
- Determining whether bankruptcy is appropriate.
- Preparing and filing the bankruptcy petition.
- Completing the required credit counseling requirements.
- Attending the Meeting of Creditors (341 Meeting).
- Obtaining your bankruptcy discharge.
We work closely with our clients throughout the process to ensure all required documents are properly prepared and filed.
Alternatives to Bankruptcy
Bankruptcy is not the right solution for everyone. Depending on your circumstances, alternatives may include:
- Debt settlement
- Loan modification
- Mortgage forbearance
- Budget restructuring
- Negotiating with creditors
- Debt management plans
We will discuss all available options before recommending bankruptcy.
Frequently Asked Questions
Will bankruptcy ruin my credit forever?
No. While bankruptcy affects your credit, many clients begin rebuilding their credit shortly after receiving a discharge. Many people qualify for new credit, vehicle financing, and even mortgages sooner than they expect.
How long does bankruptcy take?
A typical Chapter 7 case is often completed in approximately three to six months. Chapter 13 repayment plans generally last three to five years.
Can I choose which debts to include?
No. You are generally required to disclose all of your debts and assets when filing bankruptcy.
Will everyone know I filed bankruptcy?
Bankruptcy filings are public records, but most people find that only those directly involved in the case become aware of the filing.
Can bankruptcy stop a foreclosure?
Yes. Filing bankruptcy generally triggers the automatic stay, which can temporarily stop a foreclosure. Chapter 13 may also provide an opportunity to catch up on missed mortgage payments over time.
Why Choose Our Firm?
We understand that financial problems can be stressful and overwhelming. Our goal is to provide clear advice, practical solutions, and compassionate representation throughout the bankruptcy process. We will explain your options, answer your questions, and help you make informed decisions about your financial future.
Schedule a Bankruptcy Consultation
If you are struggling with debt, you do not have to face it alone. Contact the Law Offices of Nicklaus Misiti, PLLC today to schedule a confidential consultation. We will review your financial situation, explain your legal options, and help you determine the best path toward a fresh financial start.