Indiana Bankruptcy Facts
If you have been struggling with increasing debt and have no way to pay back creditors, bankruptcy may just be your ticket to debt relief. Bankruptcy is the declaration of a debtor that they are unable to pay off their outstanding balances and the subsequent process of having that debt eliminated or reduced. Both individuals and businesses can file for bankruptcy in Indiana, but because there are so many different kinds of chapters that can be sought, retaining an experienced Indiana bankruptcy attorney is key to ensuring the fasted and most favorable outcome for a case.
But before you petition Indiana bankruptcy court for protection against creditors, there are a few facts you should know. Below are some of the most important details surrounding the bankruptcy process in Indiana to help you understand what you can expect during proceedings.
How Does Debt Accrue?
Debt can pile up at any time and for many different reasons. Sometimes debt is the direct result of a job loss or pay cut, while other times it comes about following an expensive medical bill. But regardless of what caused you to enter into debt, the important thing to remember is that you can get out of it through bankruptcy protection.
Choosing the Best Chapter for Optimal Debt Relief
Although there are several bankruptcy petitions that can be filed in Indiana, there are two chapters that are most commonly sought in the state: Chapter 7 and Chapter 13. Chapter 7 is called liquidation bankruptcy because a debtor’s assets are liquidated in exchange for the discharge of unsecured debt. Chapter 13 involves getting set up on a payment plan to pay off creditors over a period of time. Each of these chapters leads to very different outcomes, and just one small mistake petitioning the court for ether can lead you to incur even more debt.
Below are a few facts about each chapter to help you understand what the best options for your individual needs and financial situation are.
Chapter 7 Bankruptcy
- - Can be filed by both individuals and businesses
- - Involves the liquidation of assets as a way to eliminate debt
- - Most – if not all – debt is discharged
- - Proceedings resolve quickly – some in as little as three months
- - There is no minimum amount of debt required to file
Chapter 13 Bankruptcy
- - Can only be filed by individuals
- - Debt cannot be entirely eliminated
- - No assets are liquidated
- - Ideal option for debtors facing foreclosure
- - Easier to qualify for than Chapter 7
- - Takes longer to emerge from (three to five years)
Hiring an Experienced Bankruptcy Lawyer in Indiana
If you have been struggling with debt, the time to act is now. Indiana bankruptcy lawyers are waiting to help you obtain debt relief as soon as possible and we are here to connect you with them. Our site features links to some of the best local bankruptcy attorneys in the state who will stop at nothing to get creditors off your back and your debt wiped out. They handle every part of your case, from completing paperwork to analyzing your income, to determine the best course of action to achieve optimal debt relief.
You do not have to deal with piles and piles of debt any longer. Browse our site to get connected with the most experienced and reliable bankruptcy attorney in your area who will make sure you emerge from proceedings with a clean slate. Call one of our featured attorneys today to schedule a consultation and discuss your ideal bankruptcy plan.