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Tennessee Bankruptcy Lawyers

A Tennessee bankruptcy attorney can help you decide whether bankruptcy is right for you.

You may think there is no way out of your debt and poor credit rating, but a local bankruptcy lawyer can review your financial situation and recommend some practical solutions.

Whether or not you decide to file for personal bankruptcy, the first step is gathering solid information so that you can make informed decisions about your finances.

Take that step now. Simply fill out the free evaluation form below or call 877-833-2410 and we'll connect you with a Tennessee bankruptcy attorney for a no-obligation consultation.

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Tennessee Bankruptcy Filings Options: Chapter 7 vs Chapter 13

If you're considering filing bankruptcy in Tennessee, you may have heard about the two most common forms of personal bankruptcy - Chapter 7 and Chapter 13. Each provides unique protections that may help you address your financial situation.

Chapter 7 in Tennessee

The first type of bankruptcy, known as Chapter 7, is designed to quickly and fully eliminate unsecured debts, like credit card debts and payday loans.

Chapter 7 is a relatively quick court process - many people receive a full discharge of their credit card debt, medical bill or other unsecured debt in as little as a few months.

The Chapter 7 court process works through liquidation, in which certain assets may be taken by the bankruptcy court and sold to repay creditors. Fortunately, each state provides exemptions that the debtor is allowed to keep. In Tennessee, you're allowed to keep the following:

  • Homestead: up to $5,000 for individual; up to $7,500 for married couple filing jointly.
  • Wages: up to 75% of unpaid weekly wages.
  • Personal Property: all clothing, books, and pictures; up to $10,000 of any other personal property.
  • Full value of qualified retirement accounts, pensions, and public benefits.

Chapter 7 can provide powerful relief from unsecured debts, but not everyone is eligible to file this type of bankruptcy. In order to file Chapter 7, you must pass a means test, which compares your household income with the median for your family size in Tennessee.

Chapter 13 in Tennessee

Chapter 13 bankruptcy, the other common form of personal bankruptcy, is designed to create a reasonable, structured repayment plan. Many people turn to Chapter 13 because it can help halt the foreclosure process and give time to catch up on mortgage debt.

By filing Chapter 13, you'll be given the opportunity to repay debts over time, typically three to five years, while receiving protections against creditors through the bankruptcy court. At the end of the repayment period, any unpaid unsecured debts (like credit card debt) may be forgiven and discharged.

Chapter 13 is typically preferred by those who:

  • Have valuable assets they might have to surrender in Chapter 7
  • Risk losing their home to foreclosure, or their car to repossession
  • Have a monthly income that prohibits them from filing for Chapter 7

Explore Your Bankruptcy Options with a Tennessee Attorney

If you need help determining if personal bankruptcy, or which chapter, might be right for you, you can connect with a local attorney and receive a free, no-obligation case evaluation. Connecting an attorney today is easy - simply fill out the free bankruptcy case review form on this page to get started.

Laws may have changed since our last update. For the latest information on your state's bankruptcy laws, speak to a local bankruptcy lawyer.

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