Although Chapter 13 bankruptcy is available for many debtors, there are specific requirements the debtors must first meet. Filing Chapter 13 bankruptcy allows debtors to complete a three or five year debt repayment plan and repay their creditors all or a portion of what they owe. Unlike Chapter 7 bankruptcy, which allows debtors to immediately discharge debts, if you file Chapter 13 bankruptcy you will not have your unsecured debts immediately discharged.
Given the complexity of bankruptcy laws it’s not always easy to understand your bankruptcy options. Recently on our bankruptcy forum a user asked, “If I am single and live in Kentucky and I make $78,000 per year can I file a Kentucky Chapter 7 bankruptcy?”
If you are expecting a tax refund and owe creditors you may be able to protect your tax refund, but it will depend on whether your debt is owed to a private creditor or to a federal government agency. Recently on our bankruptcy forum a user asked, “Does a creditor have access to my tax refunds?”
Filing bankruptcy is a serious financial decision. Before filing Chapter 7 or Chapter 13 bankruptcy you need to understand what it will and will not be able to do for you. Recently on our bankruptcy forum a user asked, “I am considering filing bankruptcy, but I want to know if it will really help me live a better life?”
Not having the ability to repay debt obligations is frustrating, not only for you, but also for creditors. If you are facing a financial crisis or you are not able to repay your debts there are certain steps you should take. Recently on our bankruptcy forum a user asked, “My bills are overdue and I missed mortgage payments, what next?”
Although the cost to hire a Chapter 13 bankruptcy attorney can vary by district and state, the good news is bankruptcy courts have guidelines which allow them to review and approve fees. Chapter 13 bankruptcy lawyers also must disclose the fees they charge, and the court has the authority to decide whether or not the fees are unreasonable. In some cases, if the court determines the fees paid have been too high, they will also make the lawyer return all or a portion of the bankruptcy fees.
The Chapter 7 bankruptcy process allows debtors to discharge certain unsecured debts, including medical bills and credit card debt. Other secured debts, such as student loans, certain IRS tax debts, and spousal and child support debts are not discharged (exceptions exist for student loan debt). If you are in a financial crisis filing Chapter 7 bankruptcy may be an option, but there are certain long-term considerations which should be understood before making this decision. Recently on our bankruptcy forum a user asked, “If I decide to file Chapter 7 bankruptcy what is the Chapter 7 bankruptcy process?”
If you are considering bankruptcy it’s likely you are living paycheck to paycheck, struggling to pay your bills, and accumulating substantial debt each month. So what can bankruptcy do for you? Recently on our bankruptcy forum a user asked, “If I file bankruptcy will it help me get more money?”
Although filing bankruptcy has become more socially acceptable, filing bankruptcy does have serious ramifications which can impact a debtor for up to ten years. Recently on our bankruptcy forum a user asked, “If I have only one credit card with a balance on it is bankruptcy right for me?”
Bankruptcy laws can be a bit complicated and sometimes it’s not clear to bankruptcy filers what can and cannot be discharged if they decide to file Chapter 7 or Chapter 13 bankruptcy. Recently on our legal forum a user asked, “If I decide to file bankruptcy will my car payments be discharged?”