Questions About Bankruptcy?
Our Lewisville Bankruptcy Attorney Has Answers
If you are ready to begin your fresh start and have decided to move forward with filing for bankruptcy, you may have noticed the process can seem complex and the nuances may vary depending on your personal circumstance. Our Lewisville bankruptcy attorney can guide you through the process and help you to start your clean financial slate. Call Shuster Law Firm PLLC at (972) 315-6222, or send us an e-mail to arrange a free initial consultation at our Lewisville, Texas, office.
While located in Lewisville, our legal services reach out to clients as far away as Richardson, Grand Prairie as well as locally in Corinth and Flower Mound TX. Contact us today to evaluate your unique situation and further answer any bankruptcy questions you may have.
- Will I Have to Go to Court If I File for Bankruptcy?
- Does Filing Bankruptcy Affect My Employment?
- Will Filing for Bankruptcy Affect My Credit Score?
- Can I Discharge Student Loans When I File for Bankruptcy?
- What is the Difference Between a Chapter 7 and a Chapter 13 Bankruptcy?
- What Are and How Do I Know if I Qualify for Bankruptcy Exemptions?
- Are All Debts Dischargeable in a Texas Bankruptcy Case?
Will I Have to Go to Court If I File for Bankruptcy?
While considering whether to file for bankruptcy is overwhelming, wondering whether you will be required to attend court can add to your concerns. However, in most cases, those who file bankruptcy do not have to go to court. About 4 weeks after filing the bankruptcy petition, you will have to attend “Meeting of Creditors,” where the trustee will ask you questions under oath regarding the content of your bankruptcy papers, your assets, debts and other matters. Despite being called a “Meeting of Creditors,” in the majority of cases there are no creditors at this meeting, only the attorney, the trustee and the client. This may be your last appearance in court, unless the trustee or creditor files an adversary action or motion.
Does Filing Bankruptcy Affect My Employment?
Bankruptcy petitions are public records; however, under normal circumstances, most employers will not know you filed a bankruptcy petition. The Bankruptcy Code prohibits employers from discriminating against you because you filed a bankruptcy petition or because you failed to pay a dischargeable debt.
Will Filing for Bankruptcy Affect My Credit Score?
For up to ten years after you initially file for bankruptcy, it will appear on your credit report. Negative marks on your credit report (foreclosures, late credit card payments, etc) can be removed seven years after you file for bankruptcy. You probably will not have to worry about this affecting your chances with lending agencies—most of them know that you will not be able to file bankruptcy again for up to six years, so they likely will not consider that a risk.
Can I Discharge Student Loans When I File for Bankruptcy?
Student loans that are insured or guaranteed by the government or nonprofit institution are generally not discharged in bankruptcy. Since the government backs most student loans, they generally are not discharged.
What is the Difference Between a Chapter 7 and a Chapter 13 Bankruptcy?
There are six different chapters of bankruptcy in the U.S.: Chapter 7, 9, 11, 12, 13 and 15. The two chapters that specifically concern individuals filing for bankruptcy are Chapter 13 and Chapter 7.
In a Chapter 7 bankruptcy, all assets are surrendered for liquidation and distribution, minus any exemptions. This means your property and personal assets are used to pay off your debts, with the exceptions of the property and assets you are qualified to keep. (See below for more on exemptions). For more information on a Chapter 7 bankruptcy, click here.
Unlike a Chapter 7 bankruptcy, a Chapter 13 bankruptcy allows you to keep your property and personal assets by creating a payment plan to pay off your debt over time with disposable income. In some cases, the debt amount is reduced to a more manageable total, which is eventually paid off in the payment arrangement. For more information on a Chapter 13 bankruptcy, click here.
What Are and How Do I Know if I Qualify for Bankruptcy Exemptions?
Exemptions are safeguards for values on certain assets. A bankruptcy exemption on your homestead, for example, can protect your home’s equity up to a certain point. States have different laws for determining value and for what assets qualify as exemptions. Check with a Texas bankruptcy attorney to find out how state laws may affect your property during bankruptcy.
Are All Debts Dischargeable in a Texas Bankruptcy Case?
No. Congress has excluded many debts from discharge. Some of these include debts incurred by:
- Fraud or false pretenses
- False statement in writing (a false credit application, for example)
- Embezzlement or larceny
- Willful or malicious injuries
Additionally, you cannot discharge the following debts:
- Spousal or child support obligations
- Debts resulting from death or personal injury by debtor operating a motor vehicle while intoxicated
- Fines and restitution
- Income taxes within the last three years
- Government fines and penalties
- Student Loans (sometimes, these loans are dischargeable)
These are the main types excepted from discharge, although there are others.
Have More Bankruptcy Questions? Contact Our Experienced Lewisville Bankruptcy Attorney for Help
Contact our bankruptcy attorneys to set up a free consultation regarding the likelihood of a successful bankruptcy. We can explain how to file bankruptcy in Texas, along with your options during a Chapter 13 or Chapter 7 bankruptcy. Our firm can also explain how to respond to a credit card lawsuit. We serve clients throughout the DFW Metroplex, including the nearby communities of Addison, Lantana as well as the bigger cities of Carrollton and Denton. Call (972) 315-6222 to schedule your free attorney review today.
We are a debt relief agency. We help people file for debt relief under the U.S. Bankruptcy Code.