BANKRUPTCY SERVICES

EASY                    FAST                    PERSONAL

CHAPTER 11     -     REORGANIZATION

•     USUALLY USED FOR BUSINESS, BUT CAN BE USEFUL FOR INDIVIDUALS IN SOME CASES

•     VERY POWERFUL - ALLOWS RESTRUCTURING OF ALMOST ALL SECURED DEBT

•     CREDITORS GET TO VOTE, CAN FORM COMMITTEES

•     PLAN CONFIRMATION USUALLY REQUIRES NEGOTIATION WITH CREDITORS

•     EXPENSIVE AND TIME CONSUMING - $50K-$100K IN FEES, NUMEROUS HEARINGS 

•     PERVASIVE U. S. TRUSTEE OVERSIGHT PENDING CONFIRMATION - MONTHLY REPORTS - QUARTERLY UST FEES

•     3-5 YEAR PLAN WITH CONTINUING U.S.TRUSTEE OVERSITE

•  

CHAPTER 13 - PERSONAL WAGE EARNER REORGANIZATION

•     PERSONAL - BIG CORPORATIONS NEED NOT APPLY

•     DEBTORS USUALLY CAN KEEP ALL THEIR ASSETS

•     DEBTOR MUST HAVE SUFFICIENT INCOME TO LIVE, PAY SECURED CREDITORS, PAY UNSECURED CREDITORS SOMETHING    

•     SIGNIFICANT DEBT LIMITATIONS - $1,010,650 IN SECURED DEBT; $336,900 IN UNSECURED DEBT (IN 2011)

•  PLANS GENERALLY RUN 3 - 5 YEARS

•   CAN CURE DEFAULTS AND FORCE SECURED CREDITORS TO CONTINUE TO FINANCE DEBTOR

•   OFTEN USED TO SAVE RESIDENCE IF CREDITOR WILL NOT REAFFIRM MORTGAGE UNDER CH. 7

•     A SIMPLE CH 13 FILING IN NH COSTS ABOUT $4,000

CHAPTER 7 - LIQUIDATION

"the workhorse"