In 2022, Bankruptcy in Massachusetts Depends on the Chapter Filed…
The length of time that bankruptcy takes depends upon the bankruptcy chapter that is filed. Individuals, not corporations, typically file bankruptcy under Chapter 7 or Chapter 13 in Massachusetts. How long the entire bankruptcy process takes depends on whether Chapter 13 or Chapter 7 was filed.
How Long Does Chapter 7 Bankruptcy Last?
In Massachusetts, when an individual petitions the bankruptcy court under Chapter 7 the automatic stay is enabled and the bankruptcy process begins. When filing Chapter 7 bankruptcy in Massachusetts, the next step after filing the bankruptcy petition will be for the bankruptcy court to schedule a meeting of the creditors (also known as a 341 hearing). The 341 hearing is typically scheduled 30 days from the date of filing the petition for bankruptcy. Once that 341 hearing of the creditors has been scheduled, the creditors have 60 days to file a complaint or motion objecting under the Bankruptcy Code to the discharge of the debtors debt. This 60 day filing period is not written in stone, however, and it is possible for a creditor for file with the Bankruptcy Court in Massachusetts for an extension for the time to object to a discharge if the motion is filed prior to the lapse of the initial 60 day period allowed for objections to discharge.
Quick Discharge of Debt in Chapter 7
Ideally, absent any objections to the discharge of debt during the 60 day period following the scheduling of the 341 meeting, your debt should be discharged in roughly three months. That is it, the entire process wrapped up in that three month period of time.
Chapter 13 Bankruptcy Takes Longer
The usual timeline for a Chapter 13 bankruptcy case in Massachusetts is entirely dependent upon your median income. For bankruptcy filers whose income falls below the median income the repayment plan instituted under Chapter 13 bankruptcy will likely be three years. For those petitioners in bankruptcy whose income is above the median income a five year plan will likely be issued by the bankruptcy court in Massachusetts.
The 341 meeting is also scheduled 30 days after filing for bankruptcy under Chapter 13. Other than this meeting, unless you fail to make payments under the repayment plan established by the Bankruptcy Court or unless you return to court to request additional relief due to a change in circumstances, you will likely have no further contact with the court.
Partner with a Trusted Attorney
Filing for bankruptcy in Massachusetts is a complex endeavor that requires an understanding of the Bankruptcy Code, local Bankruptcy Court rules, and case law acting as precedent. Our firm is equipped to handle your bankruptcy case from start to finish, and as noted in our firm’s mission, we strongly believe that excellent customer service is fundamental to creating a strong attorney client relationship. Moreover, we treat all clients with respect and dignity while our client weighs the pros and cons of declaring bankruptcy, in what promises to be a very difficult life decision.
Learn more about filing for bankruptcy in Massachusetts by reading my articles below:
Bankruptcy and Credit
Is Bankruptcy the Best Choice for a Massachusetts Resident?
Property Exempt in Bankruptcy
Before Filing For Bankruptcy – Foreclosure Basics
Chapter 13 Explained
Chapter 7 Explained
How Debt is Handled in Bankruptcy in Massachusetts
Will I lose my Car When I File for Bankruptcy?
Massachusetts Bankruptcy FAQ’s
Consolidate Debt or Declare Bankruptcy in Massachusetts?
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The information provided in the pages and posts of this website are for general informational purposes only. The information presented on this site is not legal advice, and no attorney-client relationship is formed by the use of this site.
