Denver Bankruptcy Lawyer Helping Debtors Throughout Colorado

People who do not meet the means test, or who wish to retain certain non-exempt property, may be eligible for debt relief via Chapter 13 bankruptcy, which is often known as reorganization bankruptcy. A bankruptcy attorney can advise Denver residents on whether Chapter 13 may be more appropriate than Chapter 7. As an overview, Chapter 13 bankruptcy allows a person to restructure his or her debts and develop a plan to pay off the debts within three to five years. The debtor submits payments to a trustee, who then pays back the debtor’s debts in order of priority. Generally, support obligations have the highest priority, followed by secured debts and then unsecured debts. If the debtor complies with the agreed-upon payment plan, any remaining qualifying debts will be discharged at the end of the applicable period. If the debtor fails to comply with the payment plan, however, his or her debts will most likely not be discharged. While Chapter 13 bankruptcy imposes the burden of continuing to make payments on debts owed, it provides the benefit of allowing the debtor to retain his or her property.

Chapter 11 bankruptcy is a common option for businesses. You can consult Denver bankruptcy lawyer David M. Serafin for guidance on whether Chapter 11 can help you save your business. This type of bankruptcy allows a business to restructure and reorganize its finances to help alleviate debts. If the business filing for Chapter 11 bankruptcy is a corporation, the personal assets of any stockholders will not be placed at risk. If the business is a sole proprietorship, however, the personal assets and business assets of the filer are at risk. When a business owner files a petition for Chapter 11 bankruptcy, they must include certain information, such as a request for relief, a reorganization plan or a statement of intent to file a plan, and financial information related to assets, liabilities, income, and expenses. The business owner will typically maintain control of the business’ assets during bankruptcy proceedings and assume many of the duties that a trustee would typically perform, such as handling creditors’ claims, filing tax reports, and accounting for property. There are multiple ways in which a business can be restructured, including obtaining financing that is more favorable, granting lenders priority on earnings, or canceling contracts.

Circumstances can change in an instant, and debts that initially seem manageable can rapidly become overwhelming, leaving debtors feeling as if they have no options for regaining financial stability. If you are overcome with debt, and you lack the ability to make your required payments, you should speak with an experienced bankruptcy lawyer in the Denver area to determine whether you may be eligible for relief through this process. Attorney David M. Serafin can assist you in navigating the complicated procedures of filing for bankruptcy so that you can regain financial stability and peace of mind. His office is in Denver, and he regularly assists people and businesses throughout Denver, Boulder, Douglas, Jefferson, Adams, Arapahoe, Weld, Summit, and Eagle Counties. You can reach him via the online form or at (303) 862-9124 to schedule a confidential and free meeting to assess your options.