Often filing for bankruptcy will improve your credit score, because the balance owed on your debts will be reported as zero on your credit report.  If you have defaulted on your debts, had a car repossessed, or have a judgment against you, your credit score is about as low as it can get or it will be very soon.  This negative payment history remains on your credit report for 7 years.

A bankruptcy stays on your credit report for 10 years. But, within 1 to 2 years, the auto lenders, FHA, VA, HUD and many other respectable creditors and guarantors will lend to you.  Your interest rate won’t be the lowest available, but it will be reasonable.  As time goes by, less and less attention is paid to the bankruptcy, especially if you have regular income and you pay your bills timely.

Most importantly, if you don’t do something now, your credit is going to stay worse than someone who has filed for bankrupty.  Sooner or later, you will need to take the necessary steps to clean up your debts.

Bankruptcy will allow you to get a “fresh start.”  A bankruptcy can often help, not hurt.  I offer a free telephone consultation.

Help is just a phone call away.

 The purpose of chapter 7 bankruptcy is to eliminate overwhelming debt, which may include credit card debt, bank loans, tax debts, medical bills, most court judgments, and deficiency judgments from auto repossession and real estate forclosure.

Debts that are not eliminated in a chapter 7 bankruptcy include, child support and alimony or spousal maintenance, most student loans, and any debts obtained through fraud (if your creditor raises an objection).

Chapter 13 bankruptcy is a type of personal financial reorganization used by individuals to pay all or a portion of their debts over a period of 3-5 years using their current income.

If you are behind on your mortgage you can pay the arreage back over a period of up to 5-years.

You may be able to eliminate or "strip off" your 2nd and/or 3rd mortgages.

If your vehicle was repossessed and has not yet been sold, you may be entitled to get your car back without paying any money.  Once you file for Chapter 13 your lender must return the vehicle to you - immediately! 

You may also be able to reduce the interest rate and/or "cram down" the balance of your auto loan to the value of the vehicle and take up to 5-years to pay off the new balance regardless of how much you owe on the balance of the loan.

You may be able to eliminate tax debts and tax liens filed against your property, or at the very least, stop interest and penalties and take up to 5-years to pay your overdue taxes.

Student loans; generally student loans are not dischargeable.  However, you can stop the collection process and late fees.

The most important thing about a chapter 13 case is that it will allow you to keep valuable property - especially your home and car - which might otherwise be lost, if you can make the payments which the bankruptcy law requires to be made to your creditors.

Upon successful completion of your Chapter 13 plan payments you will receive a discharge similar to that received by a debtor in a Chapter 7 case.

YOU MAY HAVE THE RIGHT TO RECOVER MONEY FROM YOUR CREDITORS OR COLLECTION AGENCIES WHO HAVE HARRASED YOU CONCERNING YOUR DEBTS

Some debt collectors routinely violate the provisions of the Fair Debt Collections Practices Act (FDCPA) and/or Massachusett law, which gives you certain rights and prohibits certain methods of attempting to collect debts.

If the Act has been violated, you may have the right to recover money damages.

We would be happy to evaluate whether you have a case against a collection agency.  Please bring ALL LETTERS OR COMMUNICATIONS which you have received from collection agencies with you when you come for your appointment.

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