Most people do not realize that there is more than one different type of bankruptcy. Naturally, that would also mean that more than one kind of bankruptcy lawyer will also be neccessary to handle those cases. Deciding whether you are filing Chapter 13 or Chapter 7 bankruptcy is also going to help you decide whether to hire a Chapter 13 or Chapter 7 Bankruptcy Lawyer in Wichita, KS.
You always want to try to file Chapter 7 and hire a chapter 7 bankruptcy lawyer in Wichita, KS first. This is because Chapter 7 bankruptcy is the only type of bankruptcy that actually wipes your slate clean. It will erase all of your unsecured debts and those creditors will never contact you for money again. The court may decide to liquidate some of your more valuable assets in order to try to give the creditors some of the money that you owe them. This is the only major downside to filing Chapter 7.
Hiring a Chapter 7 Bankruptcy Lawyer in Wichita, KS is only going to benefit you if you can actually file for the liquidation, also known as straight, bankruptcy. In order to file any kind of insolvency at least eight years must have passed since the last time you filed, if you have ever filed before. Filing specifically for Chapter 7 means that you have to be buried under more debt than you can handle.
Chapter 13 is also known as organization bankruptcy. This is the kind of bankruptcy where you get put on a repayment plan. Basically, you are committing to a repayment plan that will allow you to keep up with your bills and pay off all of your debts over the next three to five years. As long as you keep your job and sick with the payment plan, you will eventually be debt free. The best part is the fact that the creditors are legally not allowed to contact you until after the three to five years have passed and you have still not paid them back.
