Bankruptcy

Boston Attorneys Assisting Individuals with Reorganizing Their Finances

The attorneys at Lowney Law, LLC have helped many people in their community seek a fresh financial start. You do not need to go through this process alone. With over 15 years of experience handling bankruptcy matters, our lawyers can help Boston residents decide whether to file under Chapter 7 or Chapter 13. We offer the resources of a large firm combined with the personal attention of a smaller office. There will always be someone to take your call or respond to your email at Lowney Law, LLC.

Filing Under Chapter 7

Chapter 7 is commonly referred to as a liquidation bankruptcy. The people who typically choose this type of proceeding are families and individuals. If you choose to file under Chapter 7, the court hires a bankruptcy trustee to take over your assets. The trustee is responsible for selling your property in order to pay your creditors. As a result, Chapter 7 debtors are prohibited from selling, giving away, or transferring any of their property after they file and until the bankruptcy is discharged. You are free, however, to do anything you wish with the income that you receive after you file.

Some people think that they will lose almost everything they own in a Chapter 7 bankruptcy, but that is not true. Massachusetts law provides debtors who use this option with exemptions that they can apply toward certain assets, like a home or vehicle. These exemptions protect the particular assets to which they are applied up to an amount that is specified by law.

Advantages of Choosing Chapter 13

Unlike a Chapter 7 proceeding, the Chapter 13 bankruptcy process does not involve the liquidation of assets. Instead, it focuses on establishing a debt repayment plan. One of the first steps in a Chapter 13 bankruptcy is creating the repayment plan and determining how much each creditor will be paid based on the debtor’s income and living expenses. Typically, the repayment plan lasts three to five years. In many cases, the debtor repays less than one percent of his or her unsecured debt with the remaining debt discharged at the end of the plan.

Since it allows you to continue operating your business during repayment, Chapter 13 is typically good for people or businesses that have fallen behind on certain secured debts, like mortgages and car payments. Additionally, this type of bankruptcy can help you protect certain assets that would otherwise be vulnerable to liquidation in a Chapter 7 bankruptcy.

Explore Your Options During Bankruptcy with a Boston Lawyer

If you are considering filing for bankruptcy and ready to make a fresh start with your finances, Lowney Law, LLC can help. Our bankruptcy attorneys can assist individuals in Boston with filing under Chapter 13 or Chapter 7, as appropriate for their personal circumstances. Many of our clients have come from Hyde Park, Mattapan, Dorchester, Jamaica Plain, Roxbury, West Roxbury, and Roslindale, as well as communities throughout Suffolk County. The initial consultation is free, and we work with our clients to make their bankruptcy affordable by providing payment plans. Call us at 617-364-8000 or fill out our online form to get started today.