The Valenzuela Law Firm, LLC

So, you’re ready to file for bankruptcy. But which chapter is right for your personal situation? Here are some pointers on choosing a bankruptcy chapter:


- Chapter 7 bankruptcy is known as a “liquidation bankruptcy” and can eliminate unsecured debts (i.e. credit cards, medical bills).
- Chapter 13 bankruptcy is designed to help you pay your debt back over a timespan of a few years with monthly payments.
- To quality for Chapter 7 bankruptcy, your average monthly income must be equal to or less than your state’s median income.
- Filing for Chapter 13 bankruptcy can help you keep your assets. Many homeowners use this option to stop a foreclosure.
- Chapter 13 bankruptcy is a better option if most of your debt is not dischargeable (i.e., tax debts, student loans).


Still not sure which bankruptcy chapter to choose? Let the Valenzuela Law Firm based in Ozark, AL choose the best option for you. Call us today to get started.