Consumer Bankruptcy Relief

Consumer Bankruptcy Attorney

Compare Chapter 7 and Chapter 13 before you file, and understand what bankruptcy can stop immediately.

Automatic Stay Protection
Chapter 7 vs. Chapter 13 Guidance
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Compare the Two Main Consumer Bankruptcy Chapters

Start here if you need to understand whether faster discharge or a structured repayment plan makes more sense.

Chapter 7 Bankruptcy

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Chapter 7 Bankruptcy

Usually the faster path to discharge unsecured debt when your income, assets, and exemptions line up for a Chapter 7 filing.

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Chapter 13 Bankruptcy

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Chapter 13 Bankruptcy

Usually the better fit when you need time to catch up on a mortgage, save a vehicle, or protect assets through a court-approved plan.

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How Bankruptcy Relief Works

A useful bankruptcy strategy starts with the right chapter and a filing plan that matches your income, debt, and property goals.

1

Review The Full Picture

We look at your debts, income, pending collection pressure, and the property you need to protect.

2

Choose The Right Chapter

We compare Chapter 7 and Chapter 13 so the filing strategy matches your actual goals instead of forcing a generic answer.

3

File For Breathing Room

The filing starts bankruptcy court protection and gives you a structured path forward instead of ongoing collection chaos.

Consumer bankruptcy is designed to give individuals a fresh start under the U.S. Bankruptcy Code. Filing can trigger the automatic stay under 11 U.S.C. § 362, which generally pauses collection calls, lawsuits, garnishments, repossessions, and foreclosure activity while your case moves forward.

Most people considering bankruptcy are deciding between Chapter 7 bankruptcy and Chapter 13 bankruptcy. The right chapter depends on your income, what property you need to protect, and whether you need time to cure missed mortgage or car payments.

Before you decide, review our Chapter 7 step-by-step guide. A useful bankruptcy page should help you understand the tradeoffs, not pressure you into a filing you do not fully understand.

Start with a free case review online.

What Bankruptcy Can Stop Right Away

The automatic stay created by 11 U.S.C. § 362 generally stops collection pressure as soon as a case is filed. Depending on timing and the exceptions listed in 11 U.S.C. § 362(b), that can include:

  • Debt collection lawsuits and court activity
  • Wage garnishments already in progress
  • Creditor calls, letters, and collection demands
  • Repossessions and scheduled foreclosure activity

If you are already defending a debt collection lawsuit, bankruptcy may be one option to stop the cycle while you evaluate the longer-term solution.

Need help choosing a chapter?

A bankruptcy filing should match your income, assets, and timing. Use the consultation to compare Chapter 7 and Chapter 13 before you commit.

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Chapter 7 vs. Chapter 13: How the Decision Usually Works

Chapter 7 bankruptcy focuses on discharging qualifying unsecured debt. Eligibility is shaped in part by the means-test rules in 11 U.S.C. § 707(b), and discharges are governed by 11 U.S.C. § 727.

Chapter 13 bankruptcy is a court-supervised repayment plan for individuals with regular income. Plan length and payment timing are governed by provisions such as 11 U.S.C. §§ 1322(d) and 1326(a)(1).

In practical terms, Chapter 7 is usually about faster debt relief, while Chapter 13 is often about protecting a home, catching up on arrears, or keeping assets that would be harder to protect in a liquidation case.

Property, Exemptions, and the Fresh Start

One of the biggest misconceptions is that bankruptcy automatically means losing everything. That is not how the Code works. 11 U.S.C. § 522 provides exemption rules, and the applicable exemption system can depend on the law that applies in your case.

If preserving equity or curing secured-debt arrears is the main issue, move from this hub into the chapter-specific pages and review the distinctions in Chapter 7 and Chapter 13 before deciding which route makes sense.

Talk Through Your Bankruptcy Options

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Attorney Reviewed

Bankruptcy information that keeps the tradeoffs in view

This page is reviewed for legal accuracy by Jeffrey S. Hyslip, Founding Attorney at Hyslip Legal. It explains consumer bankruptcy as general information, not as a promise about a specific filing.

Hyslip Legal is based in Algonquin, Illinois and serves clients nationally on federal matters. Bankruptcy relief is governed by federal statutes, but exemptions and local procedure can vary depending on the court and the law that applies to a particular case.

Consumer Bankruptcy Questions People Ask Before Filing

The useful answer is usually about fit, timing, and what the Bankruptcy Code actually does after a petition is filed.

Consumer Bankruptcy FAQs