Yes. There are many. Often times, if you have only one or two big debts, but cannot manage to pay those, we can contact the creditor for a voluntary work out. Additionally, there are organizations such as financialhope.org and Consumer Credit Counselors who can work with your creditors in an attempt to make a repayment plan. You must choose these firms carefully because some demand prepayment whether they succeed or not. A good not for profit credit counselor is often times the best place to start.

The cost of a bankruptcy will vary, both as to its complexity and to its type. A business bankruptcy can be very expensive. A relatively straightforward Chapter 7 Bankruptcy usually is the least expensive bankruptcy, depending on complexity. A Chapter 13 Bankruptcy is somewhat more expensive because there is extra work involved and stretches over a longer period of time.

Yes. There are many types of bankruptcies, ranging from cities and towns to big business to farmers. For individuals, the most common bankruptcies are a Chapter 7 (fresh start or liquidation bankruptcy), or a Chapter 13 (wage earner’s plan or repayment plan). Which type of those two bankruptcies is appropriate for you is not a simple answer, and must be made only after a thorough evaluation of your situation.

Unfortunately, creditors have the right to pursue collection activity until the bankruptcy is actually filed with the court. Once the process of bankruptcy is started within our firm, we attempt to contact creditors and advise them that we are intending to assist you in bankruptcy. However, that does not force them to stop their activities.

NO. If you use your credit card(s) within 90 days of filing your bankruptcy, the law allows the credit card company to assume you knew you were going to file. The court, in most cases, will allow the credit card company to recoup any charges within 90 days of filing.

Once a garnishment issues, usually against your wages or perhaps a bank account, it cannot be stopped until the bankruptcy is actually filed with the court system. Therefore, it is important to move as quickly as possible in those situations to provide the relief that you seek. Often, that is complicated by the fact that the money necessary to file the bankruptcy is tied up by garnishments. Thus, it’s important to be aware of the possibility of an upcoming garnishment well in advance.

In a Chapter 7 you can keep your house and car as long as you are current in the payments. Usually the creditor will not agree to let you do so if you are behind in the payments. If you are behind in the payments, you can save your home and/or car in a Chapter 13 Bankruptcy.

Generally, yes. But anything you sell must be disclosed in your petition. As long as it is sold for fair market value, you shouldn’t have any problems. If you sell anything for a larger dollar amount, expect to have to account for what happened to those funds.

This is a difficult question to answer. However, a good payment record of expenses after bankruptcy is the best way to begin, making sure rent is paid timely, utilities are paid on a current basis and any reaffirmed debt (such as a car or a house payment) is kept current. Generally, the better job you do of keeping current after the bankruptcy, the quicker any future creditor will look positively on your request for credit.