Nevada Bankruptcy
Naimi and Dilbeck is a strong leader in assisting businesses and individuals under financial pressures to explore solutions for financial crisis. We work with our clients to identify alternative strategies to achieve a client's particular goals. We strive to simplify the process and restore calm and order in an otherwise difficult time.
Filing for bankruptcy is more than simply filling out paper work or pulling your credit report. Without a deep understanding of the laws, you may lose valuable rights, and, more importantly, personal property. You need an experienced attorney like those of Naimi and Dilbeck to make sure you and your family are protected.
Through bankruptcy, you can:
- Stop harassing creditors
- Stop foreclosures
- Stop lawsuits
- Stop repossessions
- Lower interest rates
- Lower payments
- Stop IRS levies
- Stop wage garnishments
Chapter 7 Bankruptcy
Chapter 7 bankruptcy's main purpose is to discharge debts from credit cards, hospital bills, repossessed cars, or deficiency judgments on foreclosures or repossessions.
As a result of the Bankruptcy Code reforms in 2005, individuals wishing to file Chapter 7 must complete the means test, a complex series of calculations which take into account the income of an individual or household for the preceding six months, the median income for the locality, allowable living expenses, and the amount of unsecured debt. Generally, but not always, you will keep your home and your car under the current state of the law. When a Chapter 7 is complete, most or all of your debt is erased.
Chapter 13 Bankruptcy
An individual would file a Chapter 13 Bankruptcy in one of two situations: (1) the individual does not pass the means test and therefore cannot file a Chapter 7 Bankruptcy; (2) the individual is in arrears on a secured debt (such as a mortgage or auto loan), and wishes to get caught up and keep the secured collateral (the house or the car).
Chapter 13 consumer bankruptcy applies when your income exceeds your monthly personal expenses to some extent such that you are able to repay some portion of the debt back. A Chapter 13 bankruptcy, or personal reorganization, is essentially consolidating your debt into one monthly payment. Subject to a bankruptcy trustee's approval, you and the creditors form a Chapter 13 plan that you can work with.
The bankruptcy process
Provisions in the new bankruptcy law mandate that before one can file for bankruptcy one must complete a credit counseling course. A personal financial management seminar must be completed later. Our office has arranged for these courses to be conveniently completed online at your home. We then begin compiling the information needed to complete your bankruptcy petition and schedules, including a list of your creditors, a compilation of your property and other assets, and documentation of your income.
Shortly after filing the bankruptcy, you should receive a notice of a court date—the initial meeting of creditors or a 341 hearing. At this hearing, usually 4-6 weeks after the date of filing, you will appear in court to answer questions put forth by your counsel and/or the trustee. Creditors have the right to appear and ask additional questions, but typically no creditors will attend.
In a Chapter 7, you will receive a discharge about four months after filing. At that time, the bankruptcy is closed, most or all or your debt is erased, and you will have the fresh financial start you deserve. In a Chapter 13, you will receive a discharge in 3-5 years after making all of your plan payments.
If you are thinking about filing for bankruptcy, contact us today
