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631-549-7900

Helping our clients obtain relief

With more than six decades of experience, the bankruptcy attorneys at Macco Law Group, LLP are here to provide positive solutions to your financial challenges.

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Practice Areas

Chapter 7 Bankruptcy

Chapter 11 Bankruptcy

Bankruptcy Chapter 13

Foreclosure Defense

Bankruptcy Law Overview

Workouts And Nonbankruptcy Remedies

Bankruptcy & Credit Card Debt

Stopping Creditor Harassment

Preserving Assets

Reasons To File For Bankruptcy

What to Do When You’re in Debt Crisis

Long Island Bankruptcy Attorney

Before filing for bankruptcy, you may feel intimidated or even shame. However, letting go of this sense of resentment and blame could be the solution to your current financial woes. Filing for bankruptcy, whether as an individual, married couple, or business, can be a highly effective means of regaining financial control of your life, business, or, in some scenarios, both.

The process of filing for bankruptcy, and the steps following after, are almost always complicated and confusing for even the biggest finance aficionados. One of the first factors you need to determine is your qualifying debt and income. From there, you must quantify your assets, in addition to countless other factors that you must evaluate. After these considerations, you will need to decide if you should file for bankruptcy, and if so what type of bankruptcy will be of most benefit to you and the one you will ultimately pursue.

Long Island Bankruptcy Attorneys

In some instances, a corporation or individual will find during the evaluation process that a liquidating bankruptcy is not necessary, instead opting to restructure their debts in a reorganizing bankruptcy. In either scenario, it would effectively wipe out qualifying debts. Under a bankruptcy plan of reorganization, a business or individual is able to continue to operate and retain their property and assets. Alternatively, a person may find that they need to liquidate, walking away from their assets in exchange for a fresh start from their debts.

To ascertain the next step to your financial future, it is crucial to consult a qualified and experienced Long Island bankruptcy attorney. Your bankruptcy attorney will identify all potential options, inform you of each option’s positives and negatives, and help you proceed with the bankruptcy process. A well-versed and seasoned bankruptcy lawyer will help you preemptively address all of your financial and legal issues, taking precautionary measures to prevent mishaps from arising and taking necessary action for potential conflicts that may occur after filing. There are hundreds of factors that must be considered throughout the bankruptcy process. Have a leading Long Island bankruptcy lawyer lead you through this challenging legal process and financial journey.

Continue reading to learn more about the general concept of bankruptcy, the most common bankruptcy filing options, and who these options typically best suit. Contact us as soon as possible for your free consultation. During your initial consultation, we will discuss your current financial situation and develop a clear understanding of your wants, needs, and goals. The sooner you reach out to Macco Law Group, LLP, the sooner we can get you on the road to financial future.

Most Common Types of Bankruptcy

Title 11 of the United States Code codifies bankruptcy law in the United States. Title 11 also prescribes the several types of bankruptcy options available. Chapter 7 and Chapter 13 are among the most common types of bankruptcy. Chapter 7 and Chapter 13 are the most common bankruptcies filed by individuals or married couples. The choice between filing for Chapter 7 or Chapter 13 bankruptcy will be contingent on the debtor’s assets, liabilities, and ultimate goals from the bankruptcy process. Chapter 11 bankruptcy is typically reserved for business and those limited individuals who fail to meet the requirements of a Chapter 13. To learn more about the most common types of bankruptcy, continue reading below.

Chapter 7 bankruptcy is the most common form of bankruptcy. Commonly referred to as “liquidation” bankruptcy, under Chapter 7 bankruptcy, the debtor is not required to file a repayment plan. Rather, the bankruptcy trustee is responsible for gathering and selling the debtor’s non-exempt assets. The trustee then utilizes these proceeds to pay creditors per the provisions of the Bankruptcy Code. Conversely, one of the most significant benefits to Chapter 7 bankruptcy is that the Bankruptcy Code will permit the debtor to retain certain exempt property. Additionally, part of the value of a debtor’s property may be subject to a secured creditor’s lien, such as a car loan or home mortgage. Secured debts and exemptions help reduce the potential value to a trustee in a hypothetical liquidation, However, as previously explained, the trustee will be responsible for liquidating any unencumbered non-exempt assets to repay the debtor’s creditor. The collection of assets, sale of non-exempt belongings, and redistribution of funds is known as the asset liquidation process. Who Is Eligible for Chapter 7 Bankruptcy? The first criteria to qualify for relief under Chapter 7 bankruptcy is the debtor must be an individual, partnership, corporation or other business entity. The first determination is whether your income is higher or lower than the median income for a household of your size in New York. If your income is lower than the median, then you will generally qualify for Chapter 7 bankruptcy. From there, the bankruptcy “means test” is used to determine whether a debtor’s income is such that the debtor qualifies for Chapter 7 bankruptcy. Typically, the means test will deduct specific monthly expenses from a debtor’s current monthly income. This amount is a debtor’s monthly disposable income. The lower a debtor’s monthly disposable income, the more likely they are to be eligible to file for Chapter 7 bankruptcy.

Chapter 11 bankruptcy is often known as “reorganization” bankruptcy and is a “restructuring” form of bankruptcy. As its name suggests, entities filing Chapter 11 aim to reorganize their business affairs, debts, and assets. Arguably one of the most complex and costly types of bankruptcy cases, big corporations, partnerships, and limited liability companies are typically the entities that file for Chapter 11. While entities comprise the majority of Chapter 11 filers, individuals are not barred from filing for Chapter 11 and may choose to seek relief under Chapter 11 bankruptcy if other options are not available. Businesses will typically file for Chapter 11 in an effort to keep their businesses afloat while restructuring their debt to creditors. One of the most notable advantages to Chapter 11 bankruptcy is that after the bankruptcy process is complete, entities effectively have a clean slate, so long as they satisfy their commitments under the plan of reorganization. Who Is Eligible for Chapter 11 Bankruptcy? There is not a “means test” that a debtor must meet to be considered eligible for Chapter 11 bankruptcy.. However, an individual is ineligible for Chapter 11 bankruptcy if, during the preceding 180 days, a prior bankruptcy petition was dismissed because: of the debtor’s “willful failure” to appear in court the debtor did not comply with court orders, or creditors sought relief from the court to recover property upon which they hold liens. However, there are exceptions to these general guidelines. Petitioning for Chapter 11 is complicated and the process and qualifications vary on a case-by-case basis. Consulting with an expert bankruptcy will be vital to determining whether you or your business are eligible to petition for Chapter 11 bankruptcy.

Chapter 13 bankruptcy, often referred to as a “wage earner’s plan,” is another type of “restructuring” bankruptcy. Unlike Chapter 7 bankruptcy, a Chapter 13 bankruptcy requires filing a repayment plan. The repayment plan gives individuals with a “regular” income the opportunity to develop a plan to restructure their debt. Under a Chapter 13 repayment plan, the debtor is required to contribute payment installments to creditors over a three to five year time period. A substantial advantage to Chapter 13 bankruptcy is that the law prohibits creditors from beginning or continuing collection efforts during the plan period. This provides debtors relief as they focus on their repayment plan. Additionally, individuals can cease foreclosure proceedings by filing for Chapter 13, allowing them to keep their homes. Who Is Eligible for Chapter 13 Bankruptcy? Any individual or married couple, even if they are self-employed or operate a business, can potentially qualify for Chapter 13 bankruptcy, so long as their unsecured debts do not exceed $419,275 and secured debts do not surpass $1,257,850. You will also need a sufficient amount of disposable income to meet your repayment obligations. For debtors whose income exceed the Chapter 7 “means test,” Chapter 13 bankruptcy may be the only option.

Decades Of Experience And In-Depth Knowledge

Our firm is led by dedicated bankruptcy attorneys with over 60 years combined experience practicing law. Not only have we filed thousands of successful Chapter 7 and Chapter 13 bankruptcy petitions, our partners are court-appointed bankruptcy trustees who know your full range of legal options for dealing with your financial problems.

Attorney Michael Macco is one of only two Chapter 13 bankruptcy trustees on Long Island in the Eastern District of New York. Mr. Macco has held this position since 1983. Macco Law Group, LLP has served our community with integrity for over 30 years.

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Frequently Asked Questions

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Your situation is unique to you. The best way to determine if bankruptcy is right for you is to speak directly with a lawyer who has experience in these matters. However, it may be beneficial to file for bankruptcy if you can answer yes to any of the following questions:
  • Are you being harassed by creditors for overdue payments?
  • Do you have overwhelming credit card debts, medical bills or other debts that you cannot pay?
  • Are you facing foreclosure on your home?
  • Is your car or other property being repossessed?
  • Have you been sued and cannot afford the judgment?
  • Are your wages being garnished?
These are just a few of the issues we commonly see with clients who are considering bankruptcy. If you are facing any type of overwhelming debt, bankruptcy may provide you with the relief you need.

Depending on the type of debt, there may be other solutions available to get you the relief you need. For example, if you are facing foreclosure, mortgage modification may be an option to help you avoid foreclosure as well as bankruptcy. However, while many individuals fear the aftereffects of bankruptcy on their credit report, bankruptcy can actually put you in a strong position for the future. Through bankruptcy you can begin rebuilding your credit. Also, during bankruptcy, creditor harassment, foreclosures and other collections practices will be stopped. This can help you get a fresh start for the future.

Chapter 7 bankruptcy is often referred to as the “fresh start” bankruptcy, because it allows you to discharge your unsecured debts and get a clean slate. Unsecured debts include debts that are not attached to property such as credit card debt, medical debt and personal debts. If you do not qualify for Chapter 7 or if you have significant assets, Chapter 13 bankruptcy can help you reorganize your debts. In Chapter 13, you develop a payment plan to help you get back on track with your debt payments. These payment plans typically last three to five years.

In Chapter 7 bankruptcy, most unsecured debts can be discharged. This includes credit card bills, medical bills, personal loans and some judgments. Student loans and support payments cannot be discharged. Similarly, at the end of your payment plan in Chapter 13 bankruptcy, any remaining debt on unsecured loans can be discharged.

While filing for bankruptcy does have an impact on your credit score, it is the first step toward improving your credit. Individuals who are facing bankruptcy already have poor credit scores from unpaid debts and credit card bills. After filing for bankruptcy, many of these debts can be resolved and you can get back on track to making regular payments. Regular, timely payments will improve your score over time.

The bankruptcy process can be complicated, and failure to follow the proper procedures could result in unresolved debts. An attorney can help you make sure that you get the relief you need from all types of debt. Your lawyer can also help guide you through the process and act as your advocate at every stage.

Client Testimonials

See what our clients say about us.

“Cooper helped my wife and I from the very beginning with our closing. He explained everything in a way that helped us understand what we were signing. He is professional and very easy to talk to. He was very responsive with all of our questions and got back to me very quickly when I would reach out. I would suggest Macco Law to everyone I know!!! Will not work with anyone else going forward!! 5 stars!! Would give more if I could!!! ”

Michael Renert

“Coopr Macco was very professional. Every time I called or sent an email, he responded in a timely manner in regards to my case. I highly recommend Macco law firm.”

William Freudeberg

“I had the honor of having Cooper Macco handle my case. He and his firm were professional, attentive and always communicated with me. I never had to question what was next. Cooper was always on top of everything and always made sure I was prepared and informed. I was very pleased with the firm and would highly recommend the Macco Law Group to all seeking great lawyers. Highly, highly recommend.”

Victoria Pizzolo

“Very professional and answered all my questions until I was satisfied. Prompt at return calls and general feedback. Would recommend. Simplified a stressful event.”

Bernadette Molyneux

“I am very thankful I was referred here. Cooper Macco is the lawyer that worked with my case. He answered any question I had quickly, was affordable and overall was just a very pleasant and easy experience. I would 100% recommend this law group.”

Cassie Caquias

“After researching my different options, over the past two years, and having no luck or comfort in substantial conversations with any other law firm, I made an inquiry to Cooper Macco’s group. With great professionalism and knowledge, after my consultation, I felt educated in the current laws and my rights. Under his advice and guidance I successfully filed a petition and won, due to his work and knowledge, I have a greater future. His office assistant was a great and knowledgeable liaison, and made the process go smoothly. Grateful to press forward. Thank you, Cooper Macco.”

Heather Frampton

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Contact Macco Law Group, LLP

Filing for bankruptcy is a complicated, challenging, and stressful process. Consulting with the experienced team at Macco Law Group, LLP will allow you to remain calm and focused as you move forward to acquiring your financial future. Contact us for your free consultation today!

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Contact Macco Law Group, LLP

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Call us at 631-549-7900 or use our contact form to arrange a free consultation with an experienced Long Island
bankruptcy attorney.