Learn how bankruptcy can help prevent foreclosure in New Jersey. Carroll Law Firm, P.C. provides trusted legal assistance to homeowners facing foreclosure.

Learn how filing for bankruptcy in New Jersey affects your credit score and how you can rebuild. Carroll Law Firm, P.C. provides trusted legal assistance throughout the process.

Can I Keep My Car if I File for Chapter 7 Bankruptcy in New Jersey?

What Are the Benefits of Filing for Chapter 13 Bankruptcy in New Jersey?

Are you considering a loan modification but unsure about its disadvantages? This post explores potential drawbacks like extended repayment periods, impact on your credit score, hidden fees, and the risk of rejection, helping you make an informed decision before moving forward.

Can I Keep My Car If I File for Chapter 7 Bankruptcy in New Jersey?

A Guide to Filing for Chapter 7 Bankruptcy in New Jersey

Financial difficulties can be overwhelming, but bankruptcy offers a way to regain control and achieve a fresh start. In New Jersey, the two most common types of bankruptcy for individuals are Chapter 7 and Chapter 13. Each has its own benefits, requirements, and implications. At Carroll Law Firm, P.C., we specialize in helping clients navigate the complexities of bankruptcy law. Here’s a detailed look at the differences between Chapter 7 and Chapter 13 bankruptcy, and how each can help you achieve financial stability. What is Chapter 7 Bankruptcy? Chapter 7 bankruptcy, also known as liquidation bankruptcy, allows individuals to discharge most of their unsecured debts, such as credit card debt and medical bills. In exchange, the debtor’s non-exempt assets are sold to repay creditors. Advantages of Chapter 7: Quick Process: Chapter 7 bankruptcy typically takes about 3 to 6 months to complete. Debt Discharge: Most unsecured debts are completely discharged, giving you a fresh financial start. No Repayment Plan: Unlike Chapter 13, there is no need to create a repayment plan; the process focuses on liquidating non-exempt assets. Disadvantages of Chapter 7: Asset Liquidation: Non-exempt assets may be sold to repay creditors, which could include valuable property. Impact on Credit: Filing for Chapter 7 bankruptcy will negatively impact your credit score and remain on your credit report for 10 years. Eligibility Requirements: Not everyone qualifies for Chapter 7 bankruptcy. You must pass a means test to demonstrate that your income is below a certain threshold. What is Chapter 13 Bankruptcy? Chapter 13 bankruptcy, also known as reorganization bankruptcy, allows individuals to keep their assets while repaying a portion of their debts over a 3 to 5-year period. This type of bankruptcy is suitable for those with a regular income who can afford to make monthly payments. Advantages of Chapter 13: Asset Protection: You can keep your property, including your home and car, as long as you comply with the repayment plan. Debt Consolidation: Chapter 13 allows you to consolidate your debts into a single monthly payment, making it easier to manage your finances. Stopping Foreclosure: Filing for Chapter 13 can stop foreclosure proceedings and allow you to catch up on missed mortgage payments. Disadvantages of Chapter 13: Longer Process: Chapter 13 involves a 3 to 5-year repayment plan, which is a longer commitment compared to Chapter 7. Regular Income Requirement: You must have a regular income to qualify for Chapter 13, as you need to make consistent monthly payments. Debt Limits: There are limits to the amount of debt you can have to qualify for Chapter 13 bankruptcy. As of 2021, these limits are $419,275 for unsecured debt and $1,257,850 for secured debt. Choosing Between Chapter 7 and Chapter 13: The choice between Chapter 7 and Chapter 13 bankruptcy depends on your specific financial situation and goals. Here are some considerations: Income Level: If your income is below the state median and you pass the means test, Chapter 7 may be the best option. If you have a regular income and can make monthly payments, Chapter 13 might be more suitable. Asset Protection: If you have significant assets that you want to protect, Chapter 13 allows you to keep your property while repaying your debts. Type of Debt: If you have primarily unsecured debts and no substantial assets, Chapter 7 can provide a quicker resolution. If you have secured debts and want to avoid foreclosure or repossession, Chapter 13 can offer better protection. Understanding the differences between Chapter 7 and Chapter 13 bankruptcy is crucial for making an informed decision about your financial future. At Carroll Law Firm, P.C., we are dedicated to providing compassionate and effective legal representation to help you navigate the bankruptcy process and achieve financial stability. 

As a New Jersey resident, it's important to understand civil tax violations and the potential consequences they can have on your financial well-being. Whether you've made an innocent mistake on your taxes or intentionally committed fraud, seeking legal advice from a qualified attorney is crucial in navigating the complex world of tax law. In this blog post, we'll delve into what civil tax violations are, common types of violations, and how a skilled attorney in New Jersey can assist you in resolving these issues. Civil tax violations refer to instances where taxpayers fail to comply with tax laws without any intent to commit criminal wrongdoing. These violations can range from simple errors on tax returns to more serious offenses such as underreporting income or claiming false deductions. It's important to note that civil penalties for tax violations can still result in hefty fines and other consequences, even if no criminal intent is present. This is why seeking legal guidance from a knowledgeable attorney is essential in addressing these matters effectively. One common type of civil tax violation is negligence, which occurs when taxpayers fail to exercise reasonable care in preparing their tax returns. Negligence can include careless mistakes, inaccuracies, or omissions that result in underpayment of taxes owed. Another type of violation is substantial understatement of income, which occurs when taxpayers significantly underestimate their income on their tax returns. Both negligence and substantial understatement of income can lead to penalties imposed by the IRS. In cases where taxpayers intentionally underreport their income or engage in fraudulent activities to evade taxes, they may face more severe consequences such as civil fraud penalties or even criminal charges. However, even unintentional errors on tax returns can still result in costly penalties and interest payments if not addressed promptly. This is where a skilled attorney specializing in civil tax violations can provide valuable assistance in negotiating with the IRS on your behalf and developing strategies to resolve these issues effectively. If you find yourself facing civil tax violations in New Jersey, it's crucial to seek legal representation from an experienced attorney who understands state and federal tax laws. A qualified attorney can help you navigate the complexities of the legal system, protect your rights throughout the process, and work towards achieving the best possible outcome for your case. By enlisting the help of a knowledgeable professional, you can minimize the financial impact of civil tax violations and take steps towards resolving these issues efficiently. Dealing with civil tax violations can be overwhelming and stressful for any taxpayer. However, with the guidance of Carroll Law Firm, P.C., you can rest assured that your case will be handled with expertise and care. If you're facing civil tax violations in New Jersey, don't hesitate to reach out to us. Remember that seeking professional help early on can make all the difference in successfully resolving your tax issues and moving forward towards financial stability.