COMMON BANKRUPTCY QUESTIONS
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How do I know if bankruptcy is for me? |
The answer to this question is based on your situation. Whether you are an individual, a couple, or a business it is important to have your financial position assessed by us to see if bankruptcy is necessary. Even if bankruptcy is an option, an assessment is needed to see what type of bankruptcy you fall into (Chapter 7, 13, 11). If you have little or no money left over to pay your creditors after you have covered your regular monthly living expenses, bankruptcy is an option. Further, you may be burdened by JUDGMENTS, FORECLOSURE, WAGE GARNISHMENTS, and CREDITOR HARASSMENT and bankruptcy is an option in such cases. Of course, you should have tried to make a good faith effort to pay your debts before seeking this legal remedy and this includes credit counseling. If you have any questions regarding credit counseling please do not hesitate to ask us. FOR MORE INFORMATION PLEASE VIEW OUR BANKRUPTCY INFORMATION PAGE. |
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What about getting credit after bankruptcy? |
There are numerous creditors who may offer loans and credit after your discharge. However, we find that many clients wind up in trouble again soon after the discharge. With this in mind, we counsel our clients to be careful what type of credit they get. Further, it will take some time to climb back up as the bankruptcy will remain on the credit report for at least 10-12 years. We encourage our clients to take advantage of our advice and counseling with respect to their activities after discharge with the hope that they will not suffer financial hardship again in the future. |
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Will I have to give up any of my personal property if I go bankrupt? What about my car? pension? retirement accounts? |
Depending on whether you are filing an individual or joint bankruptcy, you may retain up to $6,000.00 or $12,000.00, respectively, in personal assets. We will review the equity you have in your personal assets at our meeting. With respect to your car, we need to assess what is owed on the car, the value of the car, and how far behind you are on payments. It will be necessary to assess our strategy depending on your specific information. Pensions and retirement accounts are normally exempt in bankruptcy. |
| I am behind in my house payments and am facing foreclosure, will bankruptcy enable me to keep my home? | The filing of the bankruptcy may temporarily halt any foreclosure proceedings. In the case where you want to keep your home or other secured property it may be necessary to file a Chapter 13 bankruptcy. We need to assess your needs and position, but in many cases we can save your home and other secured properties. |
| My wages are being garnished and as a result I cannot pay my bills or meet my other obligations, will bankruptcy help? | A bankruptcy filing will stop wage garnishments and other similar types of collection activities. |
