If you are struggling with mounting debt, bankruptcy may be the best option for you to eliminate your debt and get a fresh start on life. While it may not be the right choice for every situation, filing for bankruptcy might be necessary if you can no longer pay your bills.
Susan McKinney understands what it is like to be burdened by debt, and can relate to her clients who are filled with fear about an uncertain future. She works to alleviate some of that stress by walking clients through the bankruptcy process, from the initial filing through the ultimate discharge of debt. She represents clients on bankruptcy matters throughout the Kansas City area, including Overland Park, North Kansas City, Independence and Blue Springs.
What Type of Bankruptcy Is Right For You?
There are two main types of individual bankruptcy: Chapter 7 and Chapter 13. The type of bankruptcy that you can file will depend on a number of factors, including your income level and ability to repay the debt that you owe.
In Chapter 7 bankruptcy, most of your assets will be “liquidated,” or sold, to pay off your creditors. Some assets, including personal property and real estate, are excluded from being sold under state law. Once the creditors have been paid, whatever debt remains will be discharged or forgiven.
In Chapter 13 bankruptcy, you will likely be able to keep your assets. You will be required to repay all or part of your debt through a payment plan, which usually must be done within three to five years. Once you have completed the terms of your payment plan, your debt will be discharged.