Maryland Bankruptcy

The process of bankruptcy allows any person living in the United States that are burdened with excessive debts, that are owed to creditors in the United States, to shed those debts and get a FRESH START financially.

Bankruptcies can generally be described as "liquidation" or "reorganization."

• Liquidation bankruptcy is called Chapter 7. Under Chapter 7 bankruptcy, a consumer or business asks the bankruptcy court to discharge the debts owed. Certain debts cannot be discharged. In exchange for the discharge of debts, the business's assets or the consumer's nonexempt property is sold, and the proceeds are used to pay off creditors.
• There are several types of reorganization bankruptcy. Consumers with secured debts under $807,750 and unsecured debts under $269,250 can file for Chapter 13. Family farmers can file for Chapter 12. Consumers with debts in excess of the Chapter 13 debt limits or businesses can file for Chapter 11 -- a complex, time-consuming and expensive process. In any reorganization bankruptcy, you file a plan with the bankruptcy court proposing how you will repay your creditors. Some debts must be repaid in full; others you pay only a percentage; others aren't paid at all. Some debts you have to pay with interest; some are paid at the beginning of your plan and some at the end.

Feel free to explore the information included in this section and to contact us at (301) 589-8852 at any time to discuss if filing for bankruptcy is right for you. We serve the state of Maryland and Washington DC.