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How Do I File a Chapter 7 Bankruptcy with No Money?

When clients come to my office and are looking to file a Chapter 7 bankruptcy, they are normally struggling with  money. Many individuals ask me how they can pay lawyers fees and filing fees to file a bankruptcy, if they can’t pay their credit card debt. I always tell my clients that if they want to file bankruptcy, we can work out a bankruptcy payment plan to help them. 

Does Filing Bankruptcy in New York Stop Wage Garnishments?

Many of our Staten Island bankruptcy clients, Manhattan bankruptcy clients and queens bankruptcy clients call us up when they are facing a wage garnishment. Many people don’t pay there debts or end up not showing up to court and recieve a letter in the mail from court explaining that their wages are going to be taken to pay off their outstanding debt.

secured debt

What is a Secured Debt in Bankruptcy?

When you take out a loan on your property as collateral to ensure your creditor will be paid back, you have a secured debt. Secured debt gives the creditor an interest in the piece of property. For example, a mortgage loan or car loan is an example of a secured debt. When you go to the dealership to take out a loan on a vehicle, they give you the vehicle as long as you pay off the loan.