There are many types of bankruptcy, but only two types that most Mississippi residents would be interested in.
Chapter 7 is what people refer to as total bankruptcy, liquidation or complete bankruptcy. Where a Chapter 13 proposes a plan to repay your creditors over set period of months, Chapter 7 wipes out or discharges your debts right away without any payment and gives you a clean slate.
The Chapter 7 will still allow you to keep your house and vehicles. The unsecured creditors such as credit cards and medical bills are totally wiped out, discharged, and can never be collected from you. There is nothing deducted from your paycheck and you are responsible for continuing to make the monthly payments on the house, car and truck and any other property you intend to keep.
This gives you an immediate fresh start and still allows you to continue to pay the debts you decide to keep.
Chapter 7 bankruptcy is ideal for a Mississippi family that can maintain the house and car payments once the burden of credit cards, medical bills and other debts is removed. An individual or married couple can file Chapter 7.
Mississippi residents that are interested in exploring bankruptcy and non-bankruptcy options can contact us for a free consultation at 601.948.1600.