Pennsylvania Bankruptcy Laws
Filing Bankruptcy in Pennsylvania
If you’re struggling with deep debt, you need to take action. Take the first step in educating yourself about debt relief options, including Pennsylvania bankruptcy.
Filing bankruptcy in Pennsylvania can provide the thorough and effective debt relief.
To speak with a local Pennsylvania bankruptcy attorney about how the laws can help you, simply fill out the form below and we’ll connect you directly.
Pennsylvania Bankruptcy Law can work in your favor
The bankruptcy laws in Pennsylvania provide two paths for relief: Chapter 7 and Chapter 13. Each option is designed to help people in different situations. Both can provide protection, relief and breathing room.
Chapter 7 bankruptcy is designed to help people with lower income who are struggling with debt resulting from credit cards, personal loans, medical bills and payday loans. This type of debt is known as unsecured debt. It may be completely retired by Chapter 7 bankruptcy.
Chapter 7 does, however, have limits on the protection it offers your property. In rare cases, there may even be a sale of certain property. But anything covered under the Pennsylvania exemptions list may not be sold.
Homestead
- $300 for property of any kind.
Wages
- 100 percent of personal earnings.
Personal Property
- 100 percent of clothing, books, Bibles and sewing machines.
- 100 percent of Veteran’s benefits.
To qualify, you must meet certain income standards. Also, Chapter 7 is best for individuals that own less property. Chapter 13 bankruptcy may be a better fit for those who have lots of property – say, multiple homes, cars or professional tools – that they want to protect.
Chapter 13 bankruptcy is often called “reorganization.” Debtors who file Chapter 13 bankruptcy often own more property, and could be able to keep most of these assets.
In Chapter 13 bankruptcy, the debtor enters into a 3-5 year debt repayment plan to be proposed and approved by the bankruptcy court. This debt repayment plan allows the debtor time to catch up on past due financial obligations.
Connect with a Pennsylvania Bankruptcy Lawyer Today
Often, people who are considering filing bankruptcy in Pennsylvania may feel overwhelmed by the complex nature of the state’s bankruptcy laws. Indeed, you’ll want to make sure you have complete information about the laws before you choose a path.
Your Pennsylvania bankruptcy lawyer can answer your questions about the state’s laws and more fully explain how they can affect your debt.
Call, toll free, 877-349-1309, or fill out the free case review form on this page and we’ll connect you with a Pennsylvania bankruptcy lawyer near you immediately.
Note: Keep in mind all laws are complex. If you need legal advice or want to fully understand how these laws affect you, please speak with a local Pennsylvania bankruptcy attorney.
Bankruptcy laws may have changed since our last update. For the latest information on your state's bankruptcy laws, speak to a local lawyer about filing bankruptcy in Pennsylvania.
