If you are facing financial difficulties and you live in Arizona, you need to know the laws that pertain to you in filing Arizona bankruptcy. You need the help of an Arizona bankruptcy attorney who can assist you in understanding how Arizona bankruptcy laws will affect your case.

The most common type of personal bankruptcy that is filed in Arizona is Chapter 7. In Chapter 7 bankruptcy, you surrender your non-exempt property to a bankruptcy trustee who then liquidates the property and distributes the proceeds to your unsecured creditors. In exchange for this, you are entitled to a discharge of some of your debt.

Chapter 7 bankruptcy does away with all of your unsecured debt, such as medical bills and credit cards. It is designed to wipe the slate clean and give you a new start.

The other personal bankruptcy that is filed in Arizona is Chapter 13. In Chapter 13 bankruptcy, you continue to have possession and ownership of all of your assets, but some portion your future income is given to repaying your creditors. Usually, this is over a three to five year period.

If you make more than the median income that is based on household size in Arizona, you may not be able to file Chapter 7. Your income is put to a “Means Test” to determine if you are eligible to file Chapter 7. If your income level is too high to automatically qualify for Chapter 7 bankruptcy, an Arizona bankruptcy attorney can explain to you the special circumstances where you may still be eligible to file Chapter 7.

You have to decide whether you will take the federal bankruptcy exemptions or the exemptions allowed under Arizona and federal non-bankruptcy laws, if you are eligible to file Chapter 7. This is an important decision that an Arizona bankruptcy attorney can help you make. The nature and value of the property that you have will be what determines this decision.

The homestead exemption is one of the most important exemptions if you decide on taking the Arizona and federal non-bankruptcy exemptions. Veterans’ benefits, Social Security benefits, personal pensions and property and other things are in this choice.

Again, an Arizona bankruptcy attorney can help you decide which set of exemptions is best for you. He or she will know the limits and amounts of these exemptions. Your Arizona bankruptcy lawyer can also help you determine whether Chapter 7 or Chapter 13 bankruptcy is better for you if you can choose between the two.

The attorney who will be able to give you the most pertinent advice is a lawyer who is experienced in bankruptcy law in Arizona. Arizona bankruptcy lawyers work with bankruptcy cases day in and day out. They keep abreast of the latest updates and changes to Arizona bankruptcy law.

BankruptcyOnly.com is where you will find a good Arizona bankruptcy lawyer. BankruptcyOnly.com is the Web site where you will find a trusted Arizona bankruptcy attorney who will help you make the bankruptcy decisions that are right for you.

This decision may affect you and your family for the rest of their life. BankruptcyOnly.com can put you in touch with a bankruptcy lawyer in Boston, Cape Cod or Georgia. You deserve the best advice possible from an Arizona bankruptcy attorney near you.