Bankruptcy Research Do you think you may need to file bankruptcy? I have compiled information that is freely available from the U.S. Government regarding bankruptcy. This blog should not be considered legal advice as I am not a lawyer. For more info, see the paragraph at the bottom of this post.
The property a debtor can keep through the bankruptcy is figured out by the specific exemptions available under Bankruptcy law. I encourage you to consult with a bankruptcy attorney to see if you are allowed to choose federal exemptions instead of state exemptions.
Before deciding the appropriate course of action, you should look for possible alternatives to bankruptcy, and ask questions of a bankruptcy attorney for a better understanding of how bankruptcy works
Bankruptcy law can be hard to understand; so you need someone to teach you why bankruptcy may or may not work for you. Depending on the form of bankruptcy you choose, like Chapters 7 and 13 and there may be many benefits in filing bankruptcy. The information I am providing focuses on South Carolina, but typically U.S. bankruptcy laws are the same in most areas except for where you file, who can file, and so forth.
You could possibly eliminate or reduce credit card debt with Chapter 7 bankruptcy. For homeowners in South Carolina, filing Chapter 13 bankruptcy might help avoid foreclosure. There were many thousands of South Carolina foreclosures in 2009, but many of these bankruptcies could have been forestalled.
There may be some beneficial aspects of filing bankruptcy, including:
Peace of mind
Freedom from creditor harassment
Debt discharge
If you think bankruptcy is an option for you, hiring an experienced South Carolina attorney is clearly an effective way to start the process of handling your debt. You may feel filing with the courts is your 1st step in getting a second chance. However, hiring a good South Carolina bankruptcy attorney is the first step.
If you can't pay your bills, there are several possible alternatives for you to consider. Consider other options before you do something that might make your situation worseSome attempts to avoid bankruptcy might have a negative impact if you later decide to file bankruptcy.
The main alternatives for avoiding bankruptcy are out-of-court settlement with creditors, debt counseling services, and debt consolidation loans.
For example, one alternative to those trying to avoid Bankruptcy is to borrow against the equity in your home to pay down your other debts. This may put your home at risk if you are unable to pay this debt and put you in a worse position than you started. Therefore, this option, like the other options, should be considered carefully and discussed with a professional.
Got a Bankruptcy question? Here are some of them:
What is chapter 13 Bankruptcy?
A Chapter 13 Bankruptcy may allow you to keep valuable property (such as a home or car) after you file a plan to pay off your debts in a 3-5 year period.
Why do people file a chapter 13 Bankruptcy?
Many times people will file Chapter 13 if they have property that they want to keep that is not covered by an exemption, like a house or car.
How often can I file Bankruptcy?
You can file for Chapter 7 bankruptcy again after six years has passed from the date of your last filing. A Chapter 13 bankruptcy can be filed at any time.
Can I keep my home and/or car after I file bankruptcy?
If the equity in your home or car is fully exempt, you should not lose them. Even if the property is not fully exempt, you may be able to keep it in a Chapter 13 Bankruptcy where you would be required to pay some of the money back over 3-5 years.
Will I have to go to court?
In most bankruptcy cases, there is a hearing called the Meeting of the Creditors that usually takes just a few minutes where you and your attorney meet with the Trustee and any Creditor that chooses to attend, though creditors usually do not attend. If a court hearing is required, such as for a disputed debt, you will be advised of the date and time to appear before the Bankruptcy judge at the hearing.
Can I get a credit card after filing bankruptcy?
Yes. Many banks offer secured credit cards despite filing for Bankruptcy. You also may be able to keep the credit card you already have if the creditor grants approval.
Will my utility services be affected?
Public utilities, such as the electric company, cannot refuse or cut off service because you have filed for bankruptcy. However, the utility can require a deposit for future service and you do have to pay bills which arise after your bankruptcy petition is filed.
Can a married debt file without the other spouse?
Yes, but your spouse might still be liable for any joint debts. Filing together allows you to double your exemptions. Like many questions related to Bankruptcy, this is a question that should be thoroughly discussed with an attorney prior to filing.
Can I erase my student loans by filing bankruptcy?
It is usually difficult to have student loans erased. Speak to a Bankruptcy attorney for more information on these exceptions.
I have provided general information about bankruptcy that can be found by searching various resources on the internet and is not intended as legal advice or tax advice. Reliance upon this
bankruptcy site is at the sole risk of the user.