Vermont Bankruptcy Attorney
Do you have creditors calling you non-stop? Well contact a Vermont Bankruptcy Attorney today and say goodbye to those annoying collection agencies!
We want to help you become debt free! By filling out a free confidential legal evaluation, we can help you get back on the right track! Once you discover how a Vermont Bankruptcy Attorney can help you, you will leave us with a clear conscience and feeling of relief.
So let an experienced Vermont Bankruptcy Attorney help you get rid of those aggravating phone calls today! The faster you let us help you, the faster you will reach financial freedom!
Filing Chapter 7 in Vermont
Chapter 7 Banruptcy is the most common bankruptcy in Vermont
It is also the quickest, easiest and least expensive. Chapter 7 Bankruptcy will liquidate your assets and use the proceeds from the sale to pay your creditors. Your creditors will be paid in the order outlined under federal bankruptcy law. If you do not have assets to liquidate, your bankruptcy case is called a "no-asset" case. Your debt is generally discharged with in 4 to 6 months of filing Chapter 7 Bankruptcy.
Chapter 7 Bankruptcy will discharge most of your unsecured debt, including hospital bills, credit card balances, and unsecured personal loans. Corporations, partnerships, individuals, and married couples all may qualify to file Chapter 7 Bankruptcy.
If you are considering filing Chapter 7 Bankruptcy, it is important to contact a Vermont Bankruptcy Lawyer who can help you determine if you can file Chapter 7 Bankruptcy. If you decide filing bankruptcy is right for you, your Vermont Bankruptcy Attorney will complete the bankruptcy petition and schedules and file them in the appropriate bankruptcy court. All debt collection efforts will be halted once the bankruptcy petition is filed under an "automatic stay". The "automatic stay" may be temporary, if the bankruptcy judge determines there is "cause" to continue debt collection efforts.
Under the current bankruptcy laws, it is more difficult to qualify to file Chapter 7 Bankruptcy. The Bankruptcy Abuse Prevention and Consumer Act (BAPCPA) of 2005, has created additional requirements for filing bankruptcy. Individuals now must complete a credit counseling course prior to filing bankruptcy and complete a financial management course before their debt is discharged. The BAPCPA also requires individuals to pass an income test to qualify for Chapter 7 Bankruptcy. The purpose of the BAPCPA is to force individuals who are able, to repay all or a portion of their debt by filing Chapter 13 Bankruptcy.
The income test analyzes an individual's monthly income to determine if it is less or equal to the median income of other residents in Vermont of similar size. If their median income is less than or equal to other Vermont residents they will most likely be able to file Chapter 7 Bankruptcy. If their median income is more than other Vermont residents, more means testing will have to be done.
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Bankruptcy Means Testing in Vermont
Additional means testing will take an individual's gross income and subtract certain expenses including your home mortgage payments, car payments, school tuition (up to $1650), child support and taxes owed to determine if they have enough disposable income to repay their creditors. If their disposable income allows them to pay $6,000 ($100 per month) in debt payments over the next 60 months, they may have to file Chapter 13 Bankruptcy. If they can not do this, but they could pay 25% of their disposable income for debt payment over the next 60 months, they may have to file Chapter 13 Bankruptcy.
To determine your state median income, you can use the State Median Data provided by the United States Trustee Program. For the State of Vermont, after March 15, 2009, the median income for a single wage earner in the state of Vermont was $40,876 and for a family of two it was $58,480. For a family of three it was $64,312 and for a family of four it was $75,938.
Means testing can be complicated and it is important to contact a Vermont Bankruptcy Lawyer to help you determine if you can file Chapter 7 Bankruptcy in Vermont.
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Filing Chapter 13 Bankruptcy in Vermont
Many individuals in Vermont will not qualify to file Chapter 7 BankruptcyIf you have assets you would like to keep or if your income is too high, filing Chapter 13 Bankruptcy may be another option for you. Chapter 13 Bankruptcy will not liquidate your assets or discharge your debt immediately, but it can be used to stop home foreclosure, property repossession, creditor calls and wage garnishments. Chapter 13 Bankruptcy will require you to repay all or a portion of your debt under a debt repayment plan. The debt repayment plan will take three to five years, but at the end of the plan all qualifying debt will be discharged.
If you live in Vermont and would like more information about filing Chapter 13 Bankruptcy, contact a Vermont Bankruptcy Attorney who can analyze your financial information and determine if Chapter 13 Bankruptcy your right decision. Our experienced Vermont attorneys can answer your bankruptcy questions.
If you file Chapter 13 Bankruptcy the bankruptcy attorney will file the petitions and schedules, and help you create your bankruptcy repayment plan.
A trustee will manage the repayment plan and work with your creditors to make the debt payments. If you are under Chapter 13 protection, it is illegal for a creditor to contact you (there may be certain collection efforts that do continue for non-dischargeable debt which is not part of the debt repayment plan).
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Bankruptcy Exemptions in Vermont
There are certain assets that are outlined in federal bankruptcy law that will not be part of the bankruptcy process. These assets are called exemptions. Exemptions were created to help you keep enough property and assets to be able to start over after bankruptcy.
Certain states have created their own bankruptcy exemptions and depending on where you live you may be able to choose the state or the federal exemptions. In certain states, you will not have a choice and will only be able to use the state bankruptcy exemption list.
In the state of Vermont you may choose either the federal exemption list OR the State of Vermont Bankruptcy Exemption List.
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Vermont Bankruptcy Attorneys
Following is a list of bankruptcy attorneys who practice law in Vermont. To contact one of these attorneys, please complete our free case evaluation form or call 800-859-0844
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St. Johnsbury Law Office of James McFaul, P.C. 1129 Main Street St. Johnsbury, VT 05819 |
Map & Directions Call Now: 800-859-0844 Contact for your Free Evaluation |
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Related Pages
Bankruptcy Exemptions - as defined in our Bankruptcy Glossary
Liquidation - as defined in our Bankruptcy Glossary
Thanking about Filing Bankruptcy in Vermont?
If you live in Vermont and you're wondering if you can file bankruptcy, please complete the form below. A local Vermont Bankruptcy lawyer will contact you and answer your questions for free. Don't wait -- Get Help Today!
