Chicago Bankruptcy attorney Rich Fonfrias talks about chapter 7 vs. chapter 13

http://www.chicagomoneylawyer.com Chapter 7 and chapter 13 are very different. In a chapter 7, the person is erasing debt. In a chapter 13, they are repaying a portion of the debt. In a typical chapter 7 case, a person makes very little money and they have debt like credit cards or personal loans. In that situation, a chapter 7 is advisable. In a typical chapter 13, a person has either a high income, or their home is paid in full, there's all equity, combined with that there may be mortgage arrears or a second mortgage that is behind and/or in combination with debt that is not erasable with a chapter 7, like parking tickets, student loans or taxes that have recently been filed, where it's just too much to pay. If I can I help people qualify for a chapter 7 because it's quicker, and it's less expensive, and it's just a better way to go for most people... so that's how I see the differences between the two. Transcribed from video interview with Chicago bankruptcy attorney Richard Fonfrias. www.chicagomoneylawyer.com

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• Illinois bk
• Financial lawyer
• Chicago ch. 7