What Is The Difference Between The Old Bankruptcy Law And The New Bankruptcy Law?

30 Jan What Is The Difference Between The Old Bankruptcy Law And The New Bankruptcy Law?

The “old” bankruptcy law lives on within the new bankruptcy laws, but with major changes to how people file and some of it’s benefits. It is more cumbersome, but bankruptcy is still available to most of the individuals who would have been eligible for help under the old law.
  • It still holds true that if you make less than it takes to pay all your bills and debts, you should consider bankruptcy to help you get back on your feet.
Some legal benefits that were available under the old law are not available under the new law, but there is still plenty of help available. New and more complicated forms are required, along with more detailed documentation.

Thenew lawis supposed to encourage filingChapter 13instead ofChapter 7, even though it also took away some favorable aspects of Chapter 13.
The requirements under the new law make it harder for people who can afford to repay debts to file Chapter 7 and/or may require that more of their debt be repaid than was required under the old law.
  • But people who would consider filing bankruptcy under the old law are probably good candidates under the new law too.
There are still many benefits to filing for bankruptcy under the appropriate circumstances, as it has been for years.
  • You can still reduce debts, pay over time and/or eliminate debts.
  • It is still a good way to stop foreclosures, repossessions and deal with various garnishments of wages.
  • You can still find protection from creditors, and help preserve assets.
If you are having difficulties repaying debts, making ends meet, catching up on a mortgage or car, facing lawsuits or collection calls, then bankruptcy might be something that could help you.
If you heard the law changed and you are afraid that you don’t qualify forfillingbankruptcy, talk to an experience lawyer as soon as possible. Help is still available, and you may be surprised to learn that how much help is available to help you.

When all is said and done, it is the similarities of the old law and the new law are what we should be concentrating on, not the differences.

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Concentrating in Consumer Bankruptcy Law since 1988; Wake Forest Law School JD 1987 Law Office of Susanne M. Robicsek since 1993, Law Clerk to Judge Rufus Reynolds, US Bankruptcy Judge for Middle District of NC; Burns Price & Arneke, PA, David Badger and Associates, PA.

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