Your Bankruptcy Options

The right to file Bankruptcy is part of the Constitution of the United States. The laws allow Americans a chance for financial redemption. Once you file a Chapter 7 or Chapter 13 bankruptcy, none of your creditors can call you, write you, sue you, garnish you, repossess your car, or foreclose on your house. This is called the "automatic stay".

If you would like to speak with someone about your situation, please contact us and we will do our best to answer all of your questions. Please start with our FREE ONLINE BANKRUPTCY EVALUATOR or CALL NOW and we will be in touch with you soon.

Chapter 7

The Chapter 7 bankruptcy is the most common form of bankruptcy filed. To determine eligibility for Chapter 7 bankruptcy, debtors go through a series of tests to demonstrate that they cannot afford to repay anything to their creditors. These tests include:

  • Means Test (how much money you’ve earned)
  • Budget Analysis (review of your income and expenses)
  • Asset Analysis (how much property you own)

If you are able to pass this series of tests, you may be eligible for what is commonly referred to as a "fresh start" or "wipe out". This is because chapter 7 bankruptcy will discharge most unsecured debts. Some common examples of unsecured debts are utility bills, credit cards, medical bills and payday or signature loans. However, there are some bills that cannot get wiped out in a Chapter 7 bankruptcy.

Chapter 13

Chapter 13 bankruptcy is a consolidation plan based on what a debtor can actually afford over the course of 3 to 5 years after deductions for reasonable necessary expenses are considered. Often, amounts paid back are less than the full amount owed which can positively impact your long-term financial situation.

Chapter 13 bankruptcy also has some additional benefits:

  • Possible modification of secured contracts to a reduced interest rate
  • Ability to freeze past-due mortgage payments and catch up on them by paying them back over years
  • Stop IRS interest and penalties from continuing to accrue after you file your case

405 South Main Street, Suite 875

Salt Lake City, Utah 84111

Phone: 801-363-0130

Fax: 801-363-0891


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