Specialties
We Can Do it All.
America Debt Resolutions is an A+ rated company, and its debt relief partners specialize in helping consumers review a range of debt relief options, including credit card debt consolidation, debt management, and credit counseling. We also offer a debt settlement program with no fees paid in advance.
We guarantee that you will not pay any fees for our services until our negotiators have successfully settled or resolved a debt on your behalf.
Important information you should know.
The New Bankruptcy Law
How Chapter 13 Repayment and Asset Rules Work
Under previous Chapter 13 bankruptcy rules, individuals were required to use their actual disposable income, the money remaining after paying necessary living expenses, to fund their repayment plan.
Under the newer law, disposable income is calculated differently. Instead of using a person's real monthly expenses, the law applies expense limits based on IRS standards. For many people, especially those earning above their state’s median income, these allowed expenses may be lower than their actual cost of living.
As a result, some filers may appear to have more “disposable income” on paper than they truly have available each month. This can increase monthly payment obligations and may make it more difficult for some Chapter 13 repayment plans to succeed.
Property Valuation and Financial Impact
Under the newer bankruptcy laws, property may be valued based on what it would cost to replace it through a retail seller, while also considering the item’s age and condition. In some cases, this can increase the calculated value of a person’s assets and may place more property at risk during bankruptcy proceedings.
Long-Term Effects of Bankruptcy
Bankruptcy can also have long-term financial consequences. A bankruptcy filing may remain on a credit report for up to 10 years and can impact future applications for credit, housing, employment, insurance, and financing.
In addition, bankruptcy filings are part of the public record and may remain accessible through court records for many years. Because of this, some individuals choose to explore alternatives before deciding whether bankruptcy is the right solution for their financial situation.
Debts NOT Covered by Bankruptcy:
Fraud-Related Debts
Alimony
Student Loans
Child Support
Traffic Fines & Criminal Negligence Debts
Debts resulting from intentional or malicious harm to another person or damage to their property
Note: Student loans are generally not discharged in bankruptcy unless the borrower can prove “undue hardship.” This typically requires showing a good-faith effort to repay the loan and that repaying it would prevent them from maintaining a basic standard of living.