File Bankruptcy in New Jersey: Hiring a New Jersey Bankruptcy Lawyer

Let’s face it; living and conducting business in the modern world is quite expensive. More so, in New Jersey, which has one of the highest living costs in the nation. As a business person or dweller of this beautiful state, it’s not uncommon to take out some loans as a supplementary means of sustaining yourself.

But what happens when the debts become unmanageable, and you risk losing your private assets or getting sued by your creditors? You guessed that right – filing for bankruptcy may be the most viable solution in that situation. However, we all know the complexities of the court process to such a case, plus the emotional distress that bankruptcy attracts; you don’t want to go through it without professional legal assistance.

Thankfully, we can help! Bankruptcy Done Right, BDR is a client-focused top-rated law firm in New Jersey specializing in filing chapter 7 and chapter 13 bankruptcies. We have offices in Princeton and Parsippany, NJ. Plus our services also extend to the residents of the Eastern District of the Commonwealth of Pennsylvania.

With over ten years in the field of Bankruptcy, bankruptcy lawyer Daniel Harris boasts as one of the most sought-after attorneys in NJ. He has a reputation for providing clients with a realistic assessment of their options and fighting tooth and nail during the litigation process to settle for nothing short of a win. Plus, he’s surrounded by a host of high-caliber legal practices who you can rest assured to get the most reliable support for better handling of your case.

That aside, what should you expect, hiring a New Jersey bankruptcy lawyer to help you with filing for bankruptcy? Below is how our team can assist with your case quickly and cost-efficiently.

Putting Your Needs First!

At BDR, we subscribe to the school of thought that every client has specific goals when filing for bankruptcy (or any other case, for that matter), so we must respect that. Our priority is devising an unbeatable strategy and gathering the necessary resources to solve that goal.

But let’s not be blind to the fact that bankruptcy is an emotional and complex procedure that may lead to impulsive decisions. So even as we pay keen attention and heed to your needs and concerns, we also don’t shy from providing skilled guidance and ensure that you understand the laws surrounding your specific case. Put otherwise; we always strive to ensure that you make the best process choice by acknowledging all the bankruptcy options available at your disposal.

In a nutshell, our client-centric approach to filing for bankruptcy involves:

• Helping you make confident decisions by exploring various bankruptcy options and choosing the one that will protect your interests
• Increasing your knowledge about your finances
• Reviewing your bills/paperwork and giving your insights to improve your business
• Developing a strategic plan on how to cope with the post-litigation era
• Keeping an eye on the future of the promise and what you can do to achieve the same
• Providing the most reliable client support services to have all your questions answered and concerns addressed

The Bankruptcy Process – How to File for Bankruptcy in New Jersey

As you may be aware, there are two core types of bankruptcy; chapter 7 and chapter 13. Each class provides a wide array of options and protections that may come in handy in ensuring that you get your discharge. This section takes a deeper dive into the bankruptcy process, plus how our legal experts can help you decide a suitable option for your situation and hold your hand through the whole litigation. Let’s get to it!

Chapter 7 Bankruptcy

Chapter 7 bankruptcy, aka, “liquidation” is recommended for individuals looking for a fresh beginning. When you file for this bankruptcy, you’re asking the court to do away with all debts that qualify for discharge. In exchange, you must give the bankruptcy trustee the permission to collect, distribute, and sell any of your assets but those exempted from the collection. After the assets’ proceeds get distributed to your debtors, the court will give a discharge of the remaining debts, relieving you of any further liability.

However, there’s a small catch; chapter 7 bankruptcy is not a preserve for everyone as you must pass a means test. That is, your total assets and monthly earnings must be assessed to determine whether you qualify to file this type of bankruptcy.

You’re probably wondering: what types of property can you be eligible to keep following the liquidation of your assets? Whereas they may vary based on your circumstances, here are some untouchable assets in chapter 7 bankruptcy:

• Insurance. More often than not, you may be allowed to keep your employer-provided insurance benefits plus cash values from your policies.
• Home equity. This is better known as homestead exemption in legal terms, and it protects a colossal chunk or all the equity in your home.
• Automobile. If your vehicle’s present market value doesn’t exceed thousands of dollars, you may qualify to keep it, more so if you use it to go to work or take your kids to school.
• Retirement Plans. Have you invested in insurance benefits such as pensions, IRAs, 401k plans, stock bonus plans, and profit-sharing? If Yes, you can rest assured of a stress-free retirement because such plans are protected from liquidation.
• Work-related Tools. If you work in any profession that requires you to use tools, e.g., construction, you may keep the work equipment.
• Personal Property. You may qualify to keep personal items such as furniture, books, musical instruments, antiques, electronics, and jewelry valued below $1000.
• Public Benefits. Your creditors are not eligible to collect any state-given benefits, including unemployment insurance, Social Security, and Welfare.
• Others. In some instances, you may qualify to apply to keep at least $1000 worth of additional property.

Chapter 13 Bankruptcy

Chapter 13 bankruptcy is a bit more sophisticated and may be challenging to explore without a qualified attorney’s professional input. Whereas chapter 7 allows you to start afresh by liquidating part of your assets to clear your obligations, chapter 13 will enable you to create a rock-solid plan for repaying your debts. As such, the filing is perfect if you have consistent earnings and would love to retain all your property after the litigation – no wonder it’s also called the wage earner’s plan.

You need a chapter 13 bankruptcy lawyer to help you develop a repayment plan that fulfills the court’s bare minimums. That’s true because your plan must be based on the amount of property you own, your salary, plus the amount and type of debt you owe. An attorney can help you strike the perfect balance by reorganizing your debts over a period of time to ensure that you’re still left with a substantial amount to sustain yourself after the whole process.

After developing an open repayment plan, you’ll be expected to make monthly payments to the trustee, who then distributes the funds to your debtors. The best part about chapter 13 bankruptcy is that you may not be obligated to pay unsecured debts like hospital bills and credit card charges – they may be discharged after completing the regular payments. This makes chapter 13 an excellent option for those looking to sort their long-term obligations, e.g., mortgage and car loans, while also buying time to catch up on other debts.

Steps to File a Chapter 7 and Chapter 13 Bankruptcy

By now, you’ve decided what type of bankruptcy you want to file, right? The next stage is starting the process with the help of an experienced attorney. This involves the following steps:

Step 1: Attending a Credit Counseling Session

This may seem burdensome for certain bankruptcy filers, but some courts have made it mandatory to attend a court-approved credit counseling session. Failing to abide may see your case dismissed. The session’s core objective is for the counselor to assess your finances and help you decide whether bankruptcy is the best option available for you.

Step 2: Collecting the Required Documents

You’ll need to ready yourself with a host of documents, including:

• Tax returns dating back to the last two years
• Valid government-issued identifications, e.g., birth certificate, Social Security card, and driver’s license
• Proof of ownership of valuable assets like your real estate property and car
• List of all your bank accounts
• Evidence supporting your current financial situation
• The past six months’ pay stubs (if unemployed, you must provide proof of any funds earned in unemployment checks, freelance or part-time gigs)

Step 3: Contacting a Reliable Bankruptcy Lawyer

There’s no New Jersey law binding you to hire a bankruptcy lawyer. However, it’s highly recommended because those who take a solitary route consistently register low success rates. You want the services of a legal expert, especially if your case involves complex financial affairs.

An experienced attorney like Daniel Harris can bring the appropriate resources and expertise to hold your hand through the twists and turns of the litigation process. Plus, an attorney will review your financial circumstance, offering the best advice on whether you should explore chapter 7 or chapter 13 bankruptcy.

But wait, that’s not all; before contracting a lawyer to assist you in filing for bankruptcy, you must ensure that they:

• Offer a variety of process choices
• Have at least several years of experience practicing bankruptcy law
• Understand your priorities and goals, and can commit to working hard to accomplish them
• Have an in-depth understanding of bankruptcy law, finance, and other specialized knowledge areas
• Are exceedingly ethical and professional
• Are aware of the emotional distress often linked to bankruptcy and can listen to your concerns empathetically.

Bankruptcy Done Right Can Help!

Are you ready to get your bankruptcy done right? We’ve helped many clients find financial relief and quickly get back to their feet after the proceeding. And you can expect nothing short of par-level representation for your case.

Schedule a FREE consultation with one of our legal experts today, and get started on your journey to financial recovery!