THERE ARE TWO BASIC FORMS OF BANKRUPTCY FOR CONSUMERS

Chapter 7-A fresh start-where you might be able to wipe out all your debt, unless your family doesn't meet the means test, and you make too much money or your assets are too valuable and

Chapter 13-A wage earners plan where you make a plan, typically over 3-5 years to pay your creditors back according to an agreement with you and the trustee.

 

HOW MUCH TIME DOES IT TAKE

You will probably have a meeting of creditors after about 30 days from the date you file your petition. A trustee handles this proceeding, not a judge. Typically most creditors don't show up, unless you have a secured debt which means the creditor can take back certain property if the contract allows such a reversion.

 

WHAT PROPERTY CAN I KEEP

Again, this is up to the trustee. You may be able to keep your car depending on its value, and even your home if you don't have enough equity, based on the legal limits.

 

WHAT IS THE PROCESS

1. You meet with one of our data entry specialists

2. We prepare your petition

3. You file the petition

4. You show up to the meeting of creditors

5. If everything goes according to plan, you receive your discharge within about 6 months from the meeting of creditors

 

CAN I USE MY CREDIT CARDS

If you place a credit card in bankruptcy and you use it, this is considered fraud and you could not only have your bankruptcy set aside, but you could end up in jail and pay considerable fines. BE HONEST ON YOUR PETITION.