Frequently Asked Bankruptcy Questions
Q: What is bankruptcy?
A: Bankruptcy allows debtors who owe more money than they can pay to either eliminate their debts or work out a payment plan to pay a portion or all of their debts over time.
Q: Will bankruptcy stop all the harassing phone calls and mail?
A: Yes! The automatic stay will take effect when you file your case. It will stop the creditor harassment.
Q: Will bankruptcy stop a garnishment from a lawsuit for an unsecured debt?
A: Yes. The automatic stay will stop the garnishment.
Q: What type of bankruptcy should I file?
A: The choice of a Chapter 7 bankruptcy or Chapter 13 bankruptcy depends on the type and amount of debts as well as the assets owned by the debtor.
Q: Who can file bankruptcy?
A: Generally, with a few exceptions, any person or business owing money to creditors.
Q: How long will bankruptcy remain on my credit report?
A: Bankruptcy can remain on your credit report for ten years.
Q: What does “secured” or “unsecured” mean?
A: Secured debt is debt that allows a creditor to make a claim on an asset (property of some kind). Unsecured debt is held by creditors that have no claim to a debtor’s assets.
Q: What happens if I file and discover another debt after filing?
A: Your attorney can amend your case to include additional debts.
Q: What happens when one spouse files without the other spouse?
A: You need to discuss this carefully with your attorney. The non-filing spouse may be responsible for some of the debts.
Q: If I get divorced will I still be responsible for my ex-spouse’s debts?
A: Yes
Q: Can I be held responsible for a debt I co-signed?
A: Yes
Q: Can all debts be discharged?
A: No. There are certain debts like student loans, government loans, and other debts that can not be discharged.
Q: Will I lose my social security payments if I file?
A: No
Q: Am I going to lose my personal property if I file bankruptcy?
A: There are exemptions, both state and federal, that allow you to keep a certain amount of personal property. Your attorney will explain these to you. You can also see the state exemptions here.
Q: Can I pick which debts to put in the bankruptcy?
A: No. You must include all of your debts.
Q: Will I have to go before a judge?
A: Contested matters generally require a hearing in which a judge presides. These hearings are far less common in Chapter 7 bankruptcies then in Chapter 13 bankruptcies.
Q: When will I get my discharge?
A: Generally a Chapter 7 bankruptcy discharge is received 60 days after the 341 meeting.
There is a bankruptcy attorney in your area waiting to contact you!
We have bankruptcy lawyers in all fifty states. If you have any questions please call 800-887-8394.
We have bankruptcy lawyers in all fifty states. If you have any questions please call 800-887-8394.