Bankruptcy isn’t the end: it’s a new beginning. When the founders gathered in Pennsylvania to sign the United States Constitution over 200 years ago, they guaranteed your right to federal bankruptcy protections. End creditor harassment, stop foreclosures, pause litigation, and start your journey toward financial peace and freedom with the compassionate bankruptcy lawyers at Mette Law.

Pennsylvania Bankruptcy Basics

Bankruptcy is a federal, and not state, matter handled in the United States Bankruptcy Court for the Western District of Pennsylvania. This legal process allows individuals or businesses in Pittsburgh to file an appropriate bankruptcy petition, which triggers a powerful legal tool called the ‘automatic bankruptcy stay.’

This stay immediately pauses all collection attempts, foreclosure actions, evictions, and civil lawsuits. You receive immediate relief from this emotional and financial strain, giving you time to work with legal and financial professionals to discuss your options for getting your debts reduced or discharged through the bankruptcy court.

Bankruptcy Options in Pittsburgh

Your bankruptcy options depend on your financial situation, which generally requires the court to consider both your income and debts. Our bankruptcy lawyers can help you determine the type of bankruptcy you qualify for in Pennsylvania.

Chapter 7 Liquidation

Available to both individuals and businesses, this form of bankruptcy can result in the complete discharge of the following consumer debts:

• Mortgage arrears and deficiencies
• Back rent
• Auto loan deficiencies
• Most personal injury and civil judgments
• Credit cards
• Personal loans
• Utility arrears
• Medical bills
• Student debts (hardship only)
• Daycare bills

However, only debtors who pass the means test –meaning your income is below the state median– can qualify for discharge. You must also liquidate all non-exempt assets – such as selling your home, vehicles, and valuables – and put the money toward the debt. Our attorneys can help you take advantage of state or federal exemptions that allow you to retain equity in your home, car, and other valuables as a nest egg to start fresh.

Chapter 13 Wage Earner’s Bankruptcy

If you don’t qualify for Chapter 7 or want to keep your home and vehicles, Chapter 13 is a strong option for your family. You receive all the benefits of bankruptcy protections while the court restructures your debts into a manageable monthly payment plan. This plan lasts for 3 to 5 years, depending on your income and debt level, after which your remaining debts are discharged. This leaves you free to start over while also protecting your home, cars, and lifestyle.

Business and Agricultural Options under Chapters 11, 13, and 15

Businesses can also continue operations while making debt payments, and farmers, fishermen, international companies, and servicemembers have additional special relief options. Discuss the best form of bankruptcy in your unique case with our experienced bankruptcy lawyers.

Pittsburgh Individual and Business Bankruptcy Attorneys

While filing for bankruptcy will impact your credit score, it can recover over time. There’s no financial or credit risk associated with confidentially contacting our experienced bankruptcy law firm in Pittsburgh to discuss whether you can benefit from petitioning for bankruptcy protections in Pennsylvania.

If your financial struggles involve injury-related debt or accident claims, our Pittsburgh personal injury lawyers can help evaluate additional recovery options. Call (717) 232-5000 or connect with our debt relief team online today.