Bankruptcy

We offer flat fees with no surprises.

All Chapter 7 Bankruptcies are $1,000 dollars... flat.

You are responsible for the Arizona bankruptcy court filing fees($299), as well as, the cost of all credit counseling required for a chapter 7 bankruptcy in Phoenix, Arizona (filing joint $80, separate $47.50). There are NO HIDDEN FEES. In some circumstances we may be able to get your filing fees waived.

Bankruptcy law is about getting a fresh financial start and protecting the rights of consumers and giving them the opportunity to start over. In this economy there are many reasons why perfectly responsible people are forced into bankruptcy. Many Arizonan’s today are faced with lay-offs, increasing medical bills, foreclosure, lawsuits, garnishments, deficiencies and unconscionable credit card interest rates.

At Malkin and Associates we always treat our clients with respect and compassion and strive to help them attain financial freedom in the fastest and easiest way possible. We agree that bankruptcy deserves serious contemplation and will ensure that your decision to file (or not to file) is an informed one. We offer free consultations with an experienced Arizona bankruptcy attorney who will address all your questions and concerns regarding your bankruptcy case.

The Bankruptcy Code provides for several types of bankruptcy. For the vast majority of consumers, only Chapter 7 and Chapter 13 are options. Each of these chapters creates a different path to a fresh start because they are intended for people in different financial situations.

Chapter 7 bankruptcy is liquidation bankruptcy. It is available for individuals or businesses who no longer have the means to make payments on their debt. Most debtors who file bankruptcy under Chapter 7, do not have any disposable income after paying necessary expenses, nor any assets or property that can be sold to repay their debts. If the debtor does have assets, only exempt property will be protected from the trustee. Any non-exempt property becomes part of the bankruptcy estate and may be sold to pay down their debt. In return, most or all of their unsecured debts will be erased. They will get to keep any property that is classified as exempt under the state or federal laws. In reality, most debtors who file for Chapter 7 bankruptcy are pleased to learn that all of their property is exempt.

Chapter 13 bankruptcy is also known as "wage earner" bankruptcy because, in order to file for Chapter 13, you must have a reliable source of income that you can use to repay some portion of your debt. Chapter 13 bankruptcy differs from Chapter 7 in several respects.

Under Chapter 13, the debtor must propose a repayment plan that details how he is going to pay back his debts over the next three to five years. The minimum amount he would have to repay depends on his disposable income, i.e., the amount of money left over at the end of the month after deducting all necessary and allowable expenses. The debtor would then repay his unsecured creditors a percentage of the claimed amount.

Chapter 13 provides many valuable advantages for many debtors who would have otherwise preferred to file under Chapter 7. Unlike in Chapter 7, the debtor filing bankruptcy under Chapter 13 keeps all property and assets owned outright. There is no danger in Chapter 13 of the bankruptcy trustee taking any property from the debtor.

Chapter 13 is also more appropriate for debtors who are behind on payments to secured creditors because Debtors have the option to make up missed payments to avoid repossession or foreclosure by including the past due amounts in their repayment plan and making them up over time.

Perhaps the most valuable advantage provided by Chapter 13 is the ability to strip off junior liens recorded on their homes. As a result of the housing crisis, most debtors today can find some relief to falling home values. If a homeowner has more than one mortgage, and the first mortgage is “undersecured,” meaning that the current fair market value of the home has depreciated to an amount less than the principle owed on the first mortgage, then the Chapter 13 debtor can have the second mortgage (together with any other “junior” liens against the property) “stripped” from the property. That lien would then be treated as an unsecured debt and paid a percentage according to his disposable income.

During our consultation, we carefully evaluate whether Chapter 7 or Chapter 13 is more appropriate. We are your Phoenix bankrutpcy lawyers. There is life after bankruptcy.

To schedule a free consultation with a Phoenix bankruptcy lawyer,