There are two types of bankruptcy that most individuals file; namely, Chapter 7 and Chapter 13.  Chapter 7 is less expensive and completed in approximately four months, whereas Chapter 13 is more expensive and lasts three to five years.  Chapter 7 is referred to as the “liquidation” chapter (although individuals filing Chapter 7 usually get to keep all of their assets because of exemptions they can claim) and Chapter 13 is referred to as a “wage earners” bankruptcy because people with income (not necessarily only wages) can propose a plan to pay back missed mortgage and car payments, tax debt, etc.

There are situations where an individual can lose money or assets by filing bankruptcy, but that is not usually the case because of exemptions that can be claimed in bankruptcy for real estate and personal property. 

Chapter 7 cases are usually completed in three months from the date of filing before receiving your discharge whereas Chapter 13 cases last from three to five years before receiving your discharge.

The goal of filing bankruptcy is to obtain a bankruptcy discharge, which is a one or two page documents that states that you successfully completed your Chapter 7 or Chapter 13 bankruptcy case.

Yes, some debts are not discharged in bankruptcy such as tax debt for the past three years prior to filing, payroll taxes owed by an employer, restitution, etc.  Student loans are also usually non-dischargeable except under certain very difficult-to-prove exceptions.

At Stirparo Law, we offer a free one-hour initial consultation during which we ask you many questions about your financial situation, explain how bankruptcy can help you, and discuss in detail the costs to file bankruptcy.  

Other than asking whether the driver and persons in the other vehicle are okay, and exchanging insurance information with the other driver, call the police and wait for the police to arrive to question all persons involved in the collision as well as witnesses.

Unless they have been involved in an accident before, most people don’t know that it is their own auto insurance company that pays their medical bills for treatment of injuries sustained in the collision.  They pay the bills under your Personal Injury Protection/No Fault (“PIP”) portion of your policy for up to two years from the date of the collision.

Your PIP coverage also pays for your net lost earnings for up to two years from the date of the collision.  Net lost earnings not only includes your net lost wages (usually calculated as 80% of gross), but also lost health insurance premiums paid by your employer, pension contributions matched by your employer, and any other employment benefits lost as a result of your injuries. 

In cases where the other driver is at fault in causing the collision, that driver’s car insurance company will pay for the property damage to your vehicle provided its insured admits liability for the collision or the insurance company determines its driver is at fault for the collision.  Otherwise, your insurance company can pay for the damage less your deductible and seek to have your deductible reimbursed to you by the other driver’s car insurance company.

In cases where the other driver is at fault in causing the collision, the other driver’s insurance company is responsible for paying you for your bodily injuries and other damages under the liability portion of the other driver’s car insurance policy up to their insured’s policy limits.

Yes you can under the uninsured/underinsured motorist (UM/UIM) portion of your own policy if the other driver was at fault in causing the collision.  Your policy protects you in this situation and also provides additional coverage for you if the other driver at fault for the collision doesn’t have enough insurance coverage to pay for all of your bodily injuries and other damages.