What is bankruptcy?
Bankruptcy is a federal court process that enables an indebted person or organization to discharge his debts by liquidation of his assets.
What kinds are there?
The two most common kinds of bankruptcies for individuals are Chapter 7 and Chapter 13. Chapter 7 focuses on liquidation of non-exempt assets to get rid of debts while Chapter 13, also called reorganization, provides the debtor with a workable repayment plan.
Will it discharge all of my debts?
No. The following includes debts that bankruptcy cannot discharge: student loans, alimony and child support, tax debts, and new cash advances worth more than $1000.
How will it affect my credit score?
Filing for bankruptcy can deal a devastating blow to your credit score. It can stay in your credit record for ten years, greatly affecting your future finances.
Will I lose my home if I file for bankruptcy?
Generally, you will be allowed to keep your property, especially if there is no equity on it.
What will the federal court allow me to keep if I decide to file for bankruptcy?
Depending on the state you reside in, you will be allowed to keep a house, a car, clothing, items necessary to your livelihood, and furniture.
Can debt modification companies really help me?
Yes. Debt modification firms provide you with alternatives to bankruptcy that may help you keep your credit score as positive as possible while you complete your payments under better terms.
Can you stop calls from my creditors?
While your creditors have a right to contact you regarding your debt, they also have to abide by the Fair Debt Collection Practices Guidelines. Our firm has managed to successfully eliminate a number of harassing calls for our clients.
How long will the process take?
While our clients generally become debt-free within two years, the processing period is case-dependent. The conditions surrounding your loan can possibly lengthen the settlement period.
I want to know more, who should I talk to?
Our experienced debt analysts can discuss your options more thoroughly with you. Feel free to contact us and learn more about the services we offer.
