Massachusetts Bankruptcy Information

Norman Novinsky, Massachusetts Bankruptcy Attorney has been serving the residents of Massachusetts in bankruptcy issues for many years. We have found that the more educated our client is, the easier the process becomes.

So, we would like to provide you with Massachusetts Bankruptcy Information for your benefit.



Under Massachusetts Bankruptcy Laws - What Can I Expect?


From your employer:

An employer cannot discriminate against you because you have filed for bankruptcy.

From your utility companies:

Your public utilities such as water, electricity, etc., cannot refuse you service or cut off service to your home because you have filed for bankruptcy. BUT, be aware that the utility company can ask for some type of deposit for future services.

From the DMV:

If you lost your license solely because you couldn't pay court ordered damages caused in an accident, bankruptcy will allow you to get your license back.

From co-signers:

If you file a chapter 13 bankruptcy and you had a co-signer sign a loan with you you may be able to protect that co-signer. Otherwise, the co-signer may end up being responsible for your debt.



Massachusetts Bankruptcy Information on Filing Chapter 7 Bankruptcy


If you file chapter 7 bankruptcy you are asking that your debts be wiped away. In exchange for this, you give up property (except for exempt property listed below). The property you give up will be sold and the monies distributed amongst your creditors.

Exempt Properties are:

  • $20,200 in equity in your home;
  • $3,225 in equity in your car;
  • $1,350 in jewelry;
  • $525 per item in any household goods up to a total of $10,775;
  • $2,025 in things you need for your job (tools, books, etc.);
  • $1,075 in any property, plus part of the unused exemption in your home, up to $10,125;
  • Your right to receive certain benefits such as social security, unemployment compensation, veteran's benefits, public assistance, and pensions -regardless of the amount.

If a married couple files chapter 7 bankruptcy together than the amount of the exemptions listed above are doubled.

Is Chapter 7 Bankruptcy Right For You?

If you are behind on your mortgage or car loan payments but you still want to keep your home and/or your car then Chapter 7 bankruptcy may not be the best choice for you. Reason being that with this type of bankruptcy your past due mortgage and car loan payments are not wiped away.

Massachusetts Bankruptcy Information on Filing Chapter 13 Bankruptcy

If you file chapter 13 bankruptcy you are saying that you will be creating and sticking to a plan to pay off your debt within a 3-5 year time span.

The Benefit of Chapter 13 Bankruptcy?

The benefit of filing chapter 13 bankruptcy vs. chapter 7 bankruptcy is that in chapter 13 bankruptcy you are able to keep your home and your auto. Of course, you have to make the payments outlined in your plan.

Is Chapter 13 Bankruptcy Right For You?

You should consider chapter 13 bankruptcy if...



  • you own property that is not listed in the exempt list above and you want to keep that property you should consider chapter 13 bankruptcy.
  • you are able to provide monthly payments to your creditors to get caught up and eventually eliminate your debt (stick to your payment plan within 3-5 years) then you should consider chapter 13 bankruptcy.
  • you own your home and don't want to lose it.

If you have any questions about Massachusetts Bankruptcy Information, please contact us today.

Is Chapter 7 Bankruptcy Right For You? Is Chapter 7 Bankruptcy Right For You?