In New York can you file bankruptcy on credit card debt?

New York bankruptcy can be filed by debtors who meet income requirements and have excessive credit card bills. Thousands of individuals and businesses file bankruptcy every year in New York and start new.

New York Bankruptcy Laws

New York bankruptcy laws allow a debtor to file credit card bankruptcy in form of Chapter 7 or Chapter 13 depending on the debtors income and assets. Some debtors completely discharge all of their credit card debt, while others must pay back a portion of their debts. Either way, the debtor experiences a huge relief and has more expendable income each month.

Some property can be kept out of bankruptcy under New York law. This property is known as  exempt property. For example, the following property may be kept (depending on the circumstances) by a New York debtor who files bankruptcy:

• Homestead - real property including a co-op, condo or mobile home
• Personal property - including furniture, books, appliances, jewelry, cooking implements, burial plots, vehicles and cash (see state law regarding value limitations)
• Insurance
• Pensions - ERISAs, IRAs, public retirement benefits and Keoghs needed for support
• Public benefits - AFDC, Veteran's benefits, social security, unemployment compensation and home relief

Getting Legal Help

It is imperative that you speak with a New York bankruptcy lawyer before filing for bankruptcy to make sure that you make an informed decision about your finances. A lawyer will review your pertinent data such as debts, income, assets and property to make sure that you make the best decision about your affairs.