What About Back Child Support or Spousal Support/Alimony?
What Happens to My Student Loans?
In a Chapter 7 Bankruptcy, student loans may be discharged if you are able to demonstrate hardship, which is nearly impossible to do.
What About My Personal Property and Other Assets?
Will My Employer and Landlord Find Out About My Bankruptcy?
Bankruptcy petitions are public records. However, unless your employer or landlord is a creditor, they will not know that you filed bankruptcy. However, if you file a Chapter 13 Bankruptcy, and you are ordered to make payments through a wage deduction order, your employer will learn about your bankruptcy.
Do I Need To List All My Debts?
Yes, so long as you owe money to that creditor, you will have to list the creditor on your bankruptcy petition.
How Long Will the Process Take in Chapter 7 Or 13?
A Chapter 7 Bankruptcy takes about six months.
A Chapter 13 Bankruptcy takes about 3 to 5 years for you to repay debts depending on your income unless you are able to repay sooner.
What Kind of Debts Does Bankruptcy Eliminate?
In a Chapter 7, almost all unsecured debts (debts not secured by personal or real property) such as medical debt, credit card debt, personal loans, some judgments, payday loans, vehicle deficiencies, mortgage deficiencies, and certain tax debt with certain exceptions such as income tax liabilities for the past 3 years.
Chapter 7 does not eliminate secured debts (home loans and automobile loans) except for liens on personal property that are redeemed for the fair market value of the collateral in the bankruptcy. It also does not eliminate student loans (in some extreme scenarios it may be possible, however in most cases it is always nearly impossible), alimony, and child support obligations.
In a Chapter 13 Bankruptcy, all debts dischargeable in a Chapter 7 Bankruptcy are dischargeable, plus you get a super discharge. This means that certain debts that are non-dischargeable in Chapter 7 are dischargeable in Chapter 13. You can also modify the rights of secured creditors in Chapter 13, which means that you can strip a lien down to the value of the collateral such as on a car or a house in your payment plan. [See section on Chapter 13 Bankruptcy].
Can I Get Out of a Contract?
Bankruptcy generally cancels unwanted contracts if you discontinue the service and/or return the merchandise. Common contracts that people cancel include: satellite TV, gym memberships, rent to own furniture, alarm company contracts, etc.
In a Chapter 13 Bankruptcy, you can pay student loans without interest, in your payment plan.
Please feel free to contact us today so that we may discuss the options that are available to you.
Van and Associates Law Firm at 702-529-1011