Repeat Bankruptcy Filers Increasing

In a report published by the Albuquerque Journal, Americans filing for personal bankruptcies in the past few years are doing so with less debt and less assets. The reduction in debt may be due to the continuing state of the struggling economy, where less income, higher prices, and increased taxes have led to individuals spending less. The reduction in assets may be due to the decrease in home values across the nation. Bankruptcy cases in the U.S. filed in 2011 were 11 percent lower than they were in the previous year. One statistic that increased, however, was the number of repeat filers. That figure increased by 28 percent from the previous year. This may mean that these filers originally filed their petitions without legal representation, resulting in faulty paperwork or documentation.

Under federal law, you can only file for a Chapter 7 bankruptcy every eight years. If it has not been eight years since your last Chapter 7 case, then you may file a Chapter 13 bankruptcy petition. If four years have not passed since you filed a Chapter 7, however, your Chapter 13 bankruptcy will not result in a discharge of your unsecured debts, such as credit cards, medical bills, or personal loans. Also, if filing a Chapter 13 bankruptcy within two years of a previous Chapter 13, you also will not be allowed a discharge of your debts. Various rules apply to repeat filers, depending on the type of bankruptcy petitions involved in their history.

Bankruptcy Attorney Serving Chicago

If you are in a state of uncontrollable debt, filing for bankruptcy may be your best solution for regaining financial control and management. Understanding all of your options is essential; by discussing your financial scene with a knowledgeable attorney, you can make an informed decision about what is best for you. Many benefits from a bankruptcy filing are available, including the ability to stop lawsuits, wage garnishments, repossessions, and foreclosures.

Glanzer & Associates, P.C. offers comprehensive legal assistance in debt relief and bankruptcy for clients throughout the Chicago area. Mr. Glanzer has represented countless clients in both Chapter 7 and Chapter 13 cases and can walk you through the differences, the benefits of each, and what is involved in the bankruptcy process. To learn more about how your financial crisis can be resolved, contact his firm to arrange for a free consultation about your particular situation. Find out if bankruptcy is right for you and what the alternatives may be.