Frequently Asked Questions
Income Debt Homeowners Personal Property After Bankruptcy
Income
What if I just started a new job?
You can still file for bankruptcy if you started a new job. We will discuss how your new salary impacts the bankruptcy during your Free Consultation.
What if I own my own business?
You are still able to file under the bankruptcy code, but each business situation is different. We can discuss your specific business during your Free Consultation.
What if I am on disability or Social Security?
You can still file for bankruptcy if you are on a fixed income.
What if my wages are being garnished?
Bankruptcy can stop the garnishment, except for matters such as child support.
Can I still file if I recently lost my job?
Yes, actually for a Chapter 7 bankruptcy, depending on when you lost your job and what your salary was, the loss of employment may be more helpful.
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Debt
What happens to my credit card debt?
In most cases, credit card debt is eliminated without the debtor having to pay any monies back.
How are student loans handled?
Except in very rare circumstances, bankruptcy does not reduce or eliminate student loans.
What happens to medical bills?
Bankruptcy will eliminate medical bills.
What if I owe back taxes?
A Chapter 13 will help with back taxes, whether they are income related or property taxes.
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Homeowners
Will I be able to keep my home?
It depends on your type of home ownership and the amount of equity in the property. We can discuss this during your Free Consultation.
Will bankruptcy fix my adjustable rate mortgage?
Filing for bankruptcy in and of itself will not under most circumstances, fix your adjustable rate mortgage, but your may have other options under bankruptcy.
What if my house is being foreclosed?
You can file Chapter 13 bankruptcy to stop the foreclosure and keep your house as long as you begin to make monthly payments and pay the trustee for the arrearages.
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Personal Property
Will I be able to keep my car and other personal property?
Yes, under Chapter 7 and Chapter 13, as long as you are within the Law's exemptions for property, you will be able to keep your car and other personal property.
What if my car is being repossessed or was repossessed?
You can file a Chapter 13 bankrutpcy to stop a vehicle repossession or to get the vehicle back.
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After Bankruptcy
How long will bankruptcy be on my credit report?
Bankruptcy remains on your credit report for 10 years.
Will I be able to get credit after bankruptcy?
You can begin to repair your credit immediately by paying any bills you have (i.e. rent, utilities) as soon as you file bankruptcy.
Will I be able to get a checking or savings account?
Yes, bankruptcy will not stop your ability to get or to keep a checking or savings account.
Does bankruptcy impact my spouse?
If your debt is in your name only, your bankruptcy has no impact on anyone else.
What if someone co-signed on a loan for me?
If someone co-signed a loan and you file for bankruptcy, the co-signer will be responsible for the debt.
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