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In Maryland, bankruptcy is the most viable debt relief solution. With chapter 7, consumers have the opportunity to liquidate assets and settle their debts. Chapter 13 offers a chance to reorganize debts and make them more affordable. Consumers who need a more effective option to settle debts should evaluate these opportunities to find the correct choice for them.

Qualifying for Bankruptcy

Consumers qualify for bankruptcy based on their income. The median income for Montgomery County is $89,284. All consumers who wish to qualify for chapter 13 must possess an annual income that is higher than the average household income. Consumers with an income level below this value may qualify for chapter 7 only. To establish eligibility, Let us help you find lasting debt relief today.

How Does Bankruptcy Work

For chapter 13, the consumer enters into a repayment plan. The court calculates a monthly payment based on the total value of the consumer’s debts. They determine a value that enables the consumer to pay off their debts within a three-to-five year period. The consumer submits payments according to the court’s orders. They also utilize any expendable income after fulfilling household obligations to pay off debts that weren’t included in their claim.

What to Expect from Chapter 7

With chapter 7, the consumer provides all titles for their property and assets to the court. A trustee places the properties on the market for quick sale. All funds are distributed to the creditors to settle these debts. The consumer receives the exempted values for each property as assigned by the court. To begin this process, let us help you find lasting debt relief now.

The cases take up to six months to complete. Any debts that weren’t settle during the case or discharged by the court are the responsibility of the consumer. The consumer acquires an automatic stay for the duration of the case only.

Consumers acquire a long-lasting debt relief option by filing for bankruptcy. The chapter chosen by the consumer determines how the consumer settles their debts.

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