Consumer Bankruptcy Lawyers in Passaic, New Jersey

Find the right Consumer Bankruptcy attorney in Passaic, NJ

Bankruptcy is a court proceeding which lets a person or business have some or all of their debts discharged. It should usually only be considered as an option of last resort, because it can have serious long-term consequences, even if it can stave off financial disaster. This means that the costs and benefits need to be carefully considered before filing. Being a product of federal law, bankruptcy will go through federal courts. Accordingly, the procedure for filing for bankruptcy in New Jersey is basically the same as the procedure anywhere else in the United States. However, individual courts in Passaic, New Jersey will have individual rules for exemptions, so you should speak with a local attorney before filing.

Chapter 7 Bankruptcy in Passaic, New Jersey

There are 2 main types of consumer bankruptcies in Passaic, New Jersey: Chapter 7 and Chapter 13 bankruptcy. Chapter 7 liquidates some of the debtor's assets. It requires a certain percentage of the debtor's assets to be sold off to pay as much of his or her debt as possible. However, many types of property that most people own are exempt, meaning that they don't need to be sold. This often includes houses, vehicles, insurance policies, and essential personal items, like clothing. These assets are not available to creditors.

Once the eligible property is sold, and the funds transferred to the creditors, the dischargeable debt is excused. Some types of debt, however, can't be discharged in Chapter 7 Bankruptcy in Passaic, New Jersey. These include student loans, criminal fines, and taxes, among others. If most of your debt can't be discharged, Chapter 7 might not be the best choice for you.

Chapter 13 Bankruptcy in Passaic, New Jersey

Chapter 13 Bankruptcy in Passaic, New Jersey is very different from Chapter 7. Whether or not it is a better option is highly dependent on the facts of each individual case. Chapter 13 does not eliminate any debt, but it creates a new payment plan that should give the debtor some breathing room. Usually, all of the debts are consolidated into 1 periodic payment. While this might make it take longer to pay off the debt, if the debtor is willing to make a few sacrifices, the plan should be manageable.

Which Type of Consumer Bankruptcy Should I File in Passaic, New Jersey

The answer to this question depends heavily on your individual situation. If you have enough steady income to manage a payment plan, and a lot of non-exempt property that you are unwilling to part with, Chapter 13 might be a good option. If you don't have much steady income, and most of your property is exempt, Chapter 7 might be better.

In any case, it would be a good idea to consult a local bankruptcy attorney in Passaic, New Jersey. Your attorney can make an educated judgment as to what your best option is, and advise you accordingly (of course, the choice to file for bankruptcy is ultimately yours).

Talk to a Bankruptcy & Finances Law Attorney now!

Life in Passaic

Passaic, New Jersey is a city in Passaic County. As of a 2008 Census estimate, its population is just under 67,000 people.

The city of Passaic can trace its origins to a Dutch settlement established in 1679, on the Passaic River. "Passaic" comes from the Lenape word pahsayèk, which means "valley." The 19th Century saw a great deal of industrial growth, becoming a center for the textile industry. Passaic is sometimes called the "birthplace of television" because, while the TV was not invented there, it is the site of the first permanent TV station designed to broadcast to consumers. It began transmission in 1931.

Currently, portions of Passaic are designated by the state of New Jersey as "urban enterprise zones." This is part of a state program to promote entrepreneurship and economic growth by targeting areas underserved by businesses providing basic services, and encouraging them to set up shop there through reduced sales taxes (3 1/2% as opposed the statewide rate of 7%), and tax credits for hiring new employees.

If you live in Passaic, New Jersey, and need an attorney, chances are good that you'll be able to find one. Thanks to its size, diversity, and proximity to the large city of Newark, there is a significant legal community there. The chances are good that a Passaic, New Jersey lawyer can help you with whatever legal issues you might face.

Clients Rate LegalMatch Attorneys
(click to read reviews)

Ian M.
Ian M.

Bankruptcy, Banking & Credit

Richboro, PA

Eddy H.
Eddy H.

Bankruptcy, Banking & Credit

San Mateo, CA

Howard B.
Howard B.

Bankruptcy, Banking & Credit

Rye Brook, NY