{"id":3267,"date":"2020-02-08T22:10:47","date_gmt":"2020-02-08T22:10:47","guid":{"rendered":"https:\/\/phoenixfreshstartbankruptcy.com\/?p=3267"},"modified":"2021-01-14T08:07:25","modified_gmt":"2021-01-14T08:07:25","slug":"bankruptcy-chapter-7-and-13-in-arizona","status":"publish","type":"post","link":"https:\/\/phoenixfreshstartbankruptcy.com\/bankruptcy-chapter-7-and-13-in-arizona\/","title":{"rendered":"Bankruptcy Chapter 7 and 13 in Arizona"},"content":{"rendered":"<h2><span class=\"ez-toc-section\" id=\"Bankruptcy_in_Arizona\"><\/span><b>Bankruptcy in Arizona<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2><div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<label for=\"ez-toc-cssicon-toggle-item-663fd8118be11\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-663fd8118be11\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/phoenixfreshstartbankruptcy.com\/bankruptcy-chapter-7-and-13-in-arizona\/#Bankruptcy_in_Arizona\" title=\"Bankruptcy in Arizona\">Bankruptcy in Arizona<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/phoenixfreshstartbankruptcy.com\/bankruptcy-chapter-7-and-13-in-arizona\/#In_declaring_bankruptcy_in_Arizona_you_need_to_know_the_following_prerequisites\" title=\"In declaring bankruptcy in Arizona, you need to know the following prerequisites:\u00a0\">In declaring bankruptcy in Arizona, you need to know the following prerequisites:\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/phoenixfreshstartbankruptcy.com\/bankruptcy-chapter-7-and-13-in-arizona\/#Other_Bankruptcy_Exemptions_in_Arizona\" title=\"Other Bankruptcy Exemptions in Arizona\">Other Bankruptcy Exemptions in Arizona<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/phoenixfreshstartbankruptcy.com\/bankruptcy-chapter-7-and-13-in-arizona\/#Are_you_in_hot_water_because_of_mounting_financial_debt_You_may_need_to_speak_to_a_bankruptcy_attorney\" title=\"Are you in hot water because of mounting financial debt? You may need to speak to a bankruptcy attorney.\">Are you in hot water because of mounting financial debt? You may need to speak to a bankruptcy attorney.<\/a><\/li><\/ul><\/nav><\/div>\n\n<p><span style=\"font-weight: 400;\">Bankruptcy is the legal process in relation to persons or businesses who cannot afford to pay their remaining debts. Bankruptcy laws are designed to help debtors who are unable to pay their outstanding balances and help the creditors get relief from whatever kind of assets the debtor has no need for. Bankruptcies are often used as a last resort but it is a not sure way to solve all your financial problems. Only certain debts that are eliminated when you file for bankruptcy.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"In_declaring_bankruptcy_in_Arizona_you_need_to_know_the_following_prerequisites\"><\/span><span style=\"font-weight: 400;\"><strong>In declaring bankruptcy in Arizona, you need to know the following prerequisites:<\/strong>\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\"><b>Means Test <\/b><span style=\"font-weight: 400;\">\u2013 it is one of the requirements you need to pass in order to qualify for either Chapter 7 or Chapter 13 of the Bankruptcy Code. If your family income is lower than the average income of your estate, you are qualified for the means test but if it is higher, you might need to deduct the pre-set expenses before passing.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><b>Credit counseling providers <\/b><span style=\"font-weight: 400;\">\u2013 everyone must first finish a credit counseling course by approved credit counselors and then completing it by taking debt management before filing for bankruptcy.<\/span><\/li>\n<\/ul>\n<p><b><i>Arizona Bankruptcy Exemptions<\/i><\/b><\/p>\n<p><span style=\"font-weight: 400;\">There are different kinds of bankruptcy protection and bankruptcy forms depending on your circumstances, one may be a good solution for you while another may not help you at all.\u00a0<\/span><\/p>\n<p><b>Chapter 7<\/b><span style=\"font-weight: 400;\"> \u2013 is the most common type of bankruptcy form usually availed by individuals who wish to wipe out their<img decoding=\"async\" class=\"alignright size-medium wp-image-3268\" src=\"https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-300x200.jpg\" alt=\"Bankruptcy in Arizona\" width=\"300\" height=\"200\" srcset=\"https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-200x133.jpg 200w, https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-300x200.jpg 300w, https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-400x267.jpg 400w, https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-450x300.jpg 450w, https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-600x400.jpg 600w, https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-768x513.jpg 768w, https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-800x534.jpg 800w, https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-1024x683.jpg 1024w, https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-1200x801.jpg 1200w, https:\/\/phoenixfreshstartbankruptcy.com\/wp-content\/uploads\/2020\/02\/man-has-problems-with-business-277WHHL-min-1536x1025.jpg 1536w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/> debts and get a fresh start. A bankruptcy trustee will collect all of your assets and liquidate every asset as long as it is not exempted. Upon selling your assets, you will be paid off any exempted amount and the proceeds of the liquidation will be distributed to the creditors. However, not all debts can be discharged using Chapter 7. Child support, student loan, alimony, medical bills, fraudulent debts, and certain nonexempt debts are not included. You may, however, keep your car, house, furniture and other secured items by signing a \u201creaffirmation agreement.\u201d Not everyone is eligible for this kind of bankruptcy so consulting a bankruptcy attorney may enable you to open up your options.<\/span><\/p>\n<p><b>Chapter 13<\/b><span style=\"font-weight: 400;\"> \u2013 is when you have a secured monthly income but it is not enough to pay off your debts to your creditors so you will propose a 3-5 year repayment plan. If you can stick to the terms of the monthly payments, you will be out of debt by the end of the plan. The payment will be deducted from the debtor\u2019s future income. This kind of bankruptcy is usually used by people who want to retain their secured assets such as a house and a car. In some ways, Chapter 13 may be the same as Chapter 7. The only difference is that Chapter 13 gets you back your financial bearings through reorganization while Chapter 7 does it through liquidation.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If spouses who jointly own their property file together for bankruptcy in Arizona, double exemptions will apply for their owned property aside from the homestead exemption.<\/span><\/p>\n<p><b><i>Homestead Exemption in Arizona<\/i><\/b><\/p>\n<p><span style=\"font-weight: 400;\">Each debtor may protect up to $150,000 for their house, mobile home, condo or other kinds of property under the homestead exemption law.<\/span><\/p>\n<p><b><i>Motor Vehicle Exemption in Arizona<\/i><\/b><\/p>\n<p><span style=\"font-weight: 400;\">Motor vehicle exemptions in Arizona will allow you the protection of up to $6,000 for one motor vehicle up to $12,000 if the debtor is elderly or disabled.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Other_Bankruptcy_Exemptions_in_Arizona\"><\/span><b><i>Other Bankruptcy Exemptions in Arizona<\/i><\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Bank deposits\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Personal property\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Tools\u00a0of the trade\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Fraternal benefit society benefits<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Life insurance benefits<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Alimony and child support<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Wages<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Pension benefits<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Tax-exempt retirement accounts<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Qualified retirement plans<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Unemployment compensation<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Workers\u2019 compensation<\/span><\/li>\n<\/ul>\n<p><b><i>Discharge of debts<\/i><\/b><\/p>\n<p><span style=\"font-weight: 400;\">There is debt relief once a bankruptcy discharge has been issued so the debtor is not legally bound to pay back the debts which have been discharged by the bankruptcy. Creditors are also prohibited from debt collection once the debts are discharged. However, there are exemptions to the kinds of debts and some cannot be discharged by <a href=\"https:\/\/phoenixfreshstartbankruptcy.com\/bankruptcy-filing-basics-in-phoenix\/\">filing a bankruptcy<\/a> and only those discharged by it removes the debtor from the debts.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Are_you_in_hot_water_because_of_mounting_financial_debt_You_may_need_to_speak_to_a_bankruptcy_attorney\"><\/span><b><i>Are you in hot water because of mounting financial debt? You may need to speak to a bankruptcy attorney.<\/i><\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">While bankruptcy filing may be done by any person without a bankruptcy lawyer, you will be responsible for fully understanding everything related to bankruptcy law. We at <a href=\"https:\/\/phoenixfreshstartbankruptcy.com\/\">Phoenix Fresh Start<\/a> have experience in bankruptcy cases. If you want to know how to file for bankruptcy but you are not sure of what form of bankruptcy to avail or maybe you\u2019re just worried about forthcoming liabilities, our bankruptcy attorneys may help clear the air for you especially on terms which may be mind-boggling for you such as bankruptcy exemptions, debt settlement, insolvencies, mortgage payments, debt management and many more. Do not hesitate to ask for advice. <a href=\"https:\/\/phoenixfreshstartbankruptcy.com\/contact\/\">Call us<\/a> at Phoenix Fresh Start now for a free initial consultation.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bankruptcy in Arizona Bankruptcy is the legal process in relation to persons or businesses who cannot afford to pay their remaining debts. Bankruptcy laws are designed to help debtors who are unable to pay their outstanding balances and help the creditors get relief from whatever kind of assets the debtor has no need for. Bankruptcies are often used as a last resort but it is a not sure way to solve all your financial problems. Only certain debts that are [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":3269,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/posts\/3267"}],"collection":[{"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/comments?post=3267"}],"version-history":[{"count":0,"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/posts\/3267\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/media\/3269"}],"wp:attachment":[{"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/media?parent=3267"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/categories?post=3267"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/phoenixfreshstartbankruptcy.com\/wp-json\/wp\/v2\/tags?post=3267"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}