North Bergen, New Jersey Bankruptcy Lawyer

Effective Debt Relief Solutions for Consumers in Bergen County and Hudson County

Are you struggling to cope with overwhelming debt and don’t know where to turn? You’re not alone. In the age of COVID-19, people from all walks of life and income brackets are finding it difficult to make ends meet. Thankfully, there are legal remedies available to ease your financial burdens. 

The Law Office of Lazaro Carvajal helps Bergen County and Hudson County residents eliminate or reduce their debts under the U.S. Bankruptcy Code. Filing for bankruptcy is not an admission of personal failure or defeat. Rather, it’s an effective way to get your finances back on track. Bankruptcy lawyer Lazaro Carvajal provides compassionate support and expert legal advice at every stage of the bankruptcy process in New Jersey. 

Contact a Bergen County Bankruptcy Attorney Today

 Mr. Carvajal is pleased to offer a FREE initial consultation to discuss your bankruptcy case. Call (866)918-1128 to schedule. He will take the time to assess your financial situation and recommend a debt relief solution best suited to your needs. 

Bankruptcy Law Practice Areas

The Law Firm of Lazaro Carvajal provides comprehensive bankruptcy services in all areas of bankruptcy law, including:

• Debt removal through Chapter 7 bankruptcy 
• Debt reorganization/repayment plan through Chapter 13 bankruptcy
• Representation at 341 Meeting of Creditors
• Debt Defense and Settlement
• Deficiency Claim Defense

Should I File for Bankruptcy?

There are a number of reasons why Americans go bankrupt. An unforeseen job loss, illness, or divorce can quickly wipe out savings and retirement accounts. Overspending and excess use of credit can lead to unmanageable debt. No matter what the source of your financial distress, you shouldn’t have to worry about how you’re going to pay your bills and care for your family. To help you evaluate whether bankruptcy is right for you, ask yourself the following questions:

• Are creditors and/or bill collectors constantly calling you or sending you letters seeking payment? 
• Have you have fallen behind on mortgage and/or car payments?
• Are you unable to pay household expenses such as rent, food, or utilities?
• Are your wages being garnished?
• Has your landlord threatened to evict you?
• Is the bank foreclosing on your home?

Benefits of Filing for Bankruptcy

There are many benefits to choosing bankruptcy — namely, the opportunity to reduce or eliminate debt. In addition, when you file for bankruptcy in New Jersey, the court grants you an automatic stay. This is an order that can:

• stop harassing phone calls and letters from creditors
• halt foreclosure proceedings on your home
• stop wage garnishment and levies on your bank accounts
• prevent repossession of your vehicles
• restore or prevent termination of utility service
• stops someone from suing you for medical debt, credit card debt, car accident damages, or a breach of contract 

Representing Debtors in the New Jersey District Bankruptcy Court

Bankruptcy cases in New Jersey are filed and handled by the United States Bankruptcy Court for the District of New Jersey. There are three courthouse locations that make up the district: Newark, Camden, and Trenton. 

Residents of Bergen County, Hudson County, Essex County, Morris County, Passaic County, Sussex County, and Union County are served by the Newark Courthouse/Martin Luther King Jr. Federal Building located at 50 Walnut Street in Newark, NJ. 

Bankruptcy Filing Fees:

• Chapter 7 personal bankruptcy filing fee: $355
• Chapter 13 personal bankruptcy filing fee: $310

Chapter 7 and Chapter 13 Bankruptcy 

The two most common types of bankruptcy for consumers experiencing financial hardship are Chapter 7 and Chapter 13.

Need a Fresh Start? Choose Chapter 7

A Chapter 7 bankruptcy is designed to let you “wipe the slate clean.”  In a Chapter 7 proceeding, you can discharge or wipe out most, if not all of your unsecured debts, including:

• medical bills
• utility bills
• credit card debt
• deficiency balances from vehicle repossession and foreclosure
• signature loans
• payday loans

There are certain debts that cannot be discharged however, such as: student loans, alimony, child support, fraudulent debts, certain taxes, and court ordered fines and penalties. 

Chapter 7 bankruptcy is also referred to as a “liquidation” bankruptcy because a court appointed trustee gathers and sells your non-exempt assets and uses the proceeds to pay your creditors. Fortunately, most people do not lose property in a Chapter 7 bankruptcy if they take advantage of state and federal exemptions.

Qualifying for Chapter 7 with a Means Test

In order to qualify for a Chapter 7 bankruptcy in New Jersey, you will need to pass a means test that compares your average household income to the median income of a similar-sized household in New Jersey. If you fall below the household median income for a family of similar size in New Jersey, then you qualify for Chapter 7 bankruptcy relief. However, if you are above the median income for New Jersey, then you will have to prove that you don’t have a lot of disposable income. 

New Jersey Median Income Levels for 2020

• One person household average monthly income: $5,808.75
• Two person household average monthly income: $6,978.25
• Three person household average monthly income: $8,887.50
• Four person household average monthly income: $10,944.25

Do you Need to Re-organize Your Debts? Choose Chapter 13

A Chapter 13 bankruptcy is known as a “wage earner” bankruptcy because it is meant for those who have a regular source of income but need help bringing their debt under control. In a Chapter 13 bankruptcy proceeding, you can consolidate your debts into one monthly payment to repay your creditors over a 3-5 year period. 

Chapter 13 is especially beneficial if you want to: 

• keep valuable non-exempt property
• stop foreclosure of your home or repossession of your vehicles
• makeup missed mortgage or vehicle payments
• stop interest from accruing on your tax debt

Take Advantage of a Free Consultation with a Reputable NJ Bankruptcy Lawyer

Are you drowning in debt? The Law Office of Lazaro Carvajal is here to make sure you and your family don’t experience financial ruin. To learn more about your legal options, call (866)918-1128 today to schedule a free, no-obligation consultation with the firm’s founder and lead bankruptcy attorney. Our office is located in North Bergen and we serve residents in Bergen County and Hudson County, including Harrison, Hoboken, Jersey City, Kearny, and West New York. 

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.