Bankruptcy in Boston
Boston is the capital city of the Commonwealth of Massachusetts and the seat city of Suffolk County. Filing bankruptcy in Boston is guided by both the Federal Bankruptcy laws and Massachusetts laws.
Types of Boston Bankruptcy
Chapter 7 or the liquidation bankruptcy
Chapter 7 is filed by individuals and business entities; the person filing seeks to obtain discharge over debts and obtain a fresh start financially; the bankruptcy trustee appointed by the court sells all your non-exempt assets and uses the proceeds to pay your creditors; and you will obtain your discharge a few months after filing your petition successfully.
Chapter 13 bankruptcy in Boston
This bankruptcy is filed by individuals, husbands or wives separately or jointly wishing to obtain unsecure debts relief and to catch up on the payments of their secured debts through a payment plan over a period of 3-5 years at the end of which they will have paid fully, partially or not at all but either way they still get discharged. The plan is financed by your future earnings and your properties are at your disposal as stipulated in the payment plan.
Chapter 11 Boston bankruptcy
It is usually filed by large business entities(partnerships and limited liability corporations) because the intent is to reorganize their debts and still continue to be in business; sometimes spouses or persons with huge debts can be required to file for chapter 11 bankruptcy.
Chapter 12 bankruptcy in Boston
Bankruptcies filed by farmers and fishermen (fishing for commercial purposes) and are seeking to organize their debts; chapter 12 bankruptcy allows them to be make payments for during the seasons favoring them.
Means test for filing bankruptcy in Boston
This test was established to reduce the number of people filing for chapter 7 because you have to pass it for you to file for chapter 7 bankruptcy. It compares debtor’s household income with the median income of similar household, below the median you qualify to file your petition and if not you will have to provide information about expenses and your secured debts for further examination for your eligibility to file. If you choose to file chapter 13 a similar test is administered and if your income is below the median you will file for a 3 year plan instead of a 5 years one.
Credit counseling certificate and debtor education course in Boston
At least 6 months before you file your petition; you must undertake a credit counseling course with an agency approved and if 180 days pass after you have obtained your counseling certificate, you must also undergo and complete a debtor education course before you can acquire your bankruptcy discharge.
They determine what assets you get to keep and what the lenders will be receiving during chapter 13 plan and you can only choose to go with either the federal exemptions or Massachusetts exemptions but not both; you cannot match or mix them up.
Emergency bankruptcy filing in Boston
Some issues may arise that may prompt you to seek activating automatic stay such as a Foreclosure sale on your home, car repossession, wage garnishment and lawsuits and because due to the fact that regular filing takes a lot of time to compose the petition, this allows you to file only a few documents and within 14 days to file you are to file the rest of paperwork.
We are licensed to offer our services in Boston as well as in Massachusetts. We are located near the bankruptcy court in town. Our team is comprised highly qualified and experienced professionals; we offer educational material free of charge; we have served for more than two decades in the county; our services are diverse assisting you in terms of avoiding bankruptcy, counseling to legal representation.