South Dakota Bankruptcy Lawyers
Discuss Personal Bankruptcy with a Local Attorney.
If you've been researching personal bankruptcy as a solution to your financial problems, you may have discovered that there are a lot of misconceptions about bankruptcy law and bankruptcy requirements.
A local bankruptcy attorney can answer your questions and provide the information you need to make informed decisions about your finances.
Fill out the free case evaluation form below or call 877-833-2410 today to schedule a no-obligation consultation with a South Dakota bankruptcy lawyer. Take the first step toward financial security right now.
SD Bankruptcy Options: Chapter 7 and Chapter 13
U.S. bankruptcy laws provide options for individuals saddled with too much debt. The two most common forms of debt relief under the bankruptcy laws are known as Chapter 7 and Chapter 13. Each provides unique advantages, depending on your financial situation.
Chapter 7: Freedom from Unsecured Debts
Chapter 7 bankruptcy is designed to provide a relatively quick discharge of credit card debt, medical bills and other forms of unsecured debt.
Filing Chapter 7 can provide powerful relief for those struggling to make ends meet due to debt and low income. However, bankruptcy laws make Chapter 7 available only to those who truly need it. In order to file for Chapter 7, you'll have to qualify under a means test, which compares your household income and expenses to the median in the state, based on family size.
The Chapter 7 court process involves settling debts through a procedure known as liquidation. In some cases, the court may take assets of the debtor and sell them in order to repay creditors. However, South Dakota provides exemptions to this process that the court cannot touch, and many Chapter 7 filers make it through their case without having to lose any property.
South Dakota Chapter 7 exemptions include:
- Homestead: unlimited value for your home. Up to $30,000 of sale proceeds protected if you sell your home within 1 year of filing.
- Wages: All wages earned within 60 days of filing, needed for support of family.
- Personal Property: $6,000 for any personal property, plus $200 for books, and all food, fuel and clothing necessary for 1 year.
Other exemptions also may protect public benefits, life insurance, medical benefits, retirement funds, and more. A local attorney can explain how these exemptions may help protect your assets in bankruptcy.
Chapter 13: Structured Repayment of Debts
The popular alternative to Chapter 7 is Chapter 13 bankruptcy. This type of bankruptcy, known as reorganization, is typically used by debtors who:
- Have too much income to qualify for Chapter 7;
- Have property not protected by Chapter 7 exemptions that they don't want to lose; or
- Want to make an honest attempt to repay their creditors, but need the court's assistance.
In a Chapter 13 bankruptcy case, the court will facilitate a structured, affordable payment plan to catch up on debts. This plan lasts between three and five years, during which you'll make interest-free payments to your creditors through the court.
Questions about Your Bankruptcy Options? Ask an Attorney Today
Deciding to file bankruptcy can be a stressful and intimidating process - but it's one that you don't have to face alone. If you have questions about qualifying for bankruptcy, or what happens after bankruptcy, connect with a local attorney today. Simply fill out the case review form on this page to arrange a free, no-obligation with a South Dakota attorney today.
Laws may have changed since our last update. For the latest information
on your state's bankruptcy laws, speak to a local bankruptcy