Frequently Asked Questions Regarding Bankruptcy
Q. Will a bankruptcy filing hurt my credit?
A. Obviously filing bankruptcy is harmful to a credit score, however there are a couple of things to keep in mind. First if you are seriously evaluating a bankruptcy filing, your credit scores may have already been badly damaged by missed or late payments. Second, under the bankruptcy law, after a period of years you cannot be discriminated against in the extension of credit because of a bankruptcy filing.
Q. Will I ever be able to receive credit again, purchase a house, or buy a car?
A. You may be surprised to learn that most people find it fairly easy to rebuild credit after a bankruptcy filing. In fact, many of our clients report that they receive credit offers after they have filed bankruptcy. It seems that many lenders are often more concerned with whether the person has an income rather than whether they filed a bankruptcy. So, yes, you will!
Q. Will I be able to keep my belongings?
A. Yes, most people are entitled to keep what they own under Federal and State property exemption laws. These laws allow us to protect certain important assets even in a bankruptcy. So, for example, up to certain limits - a house, car, household possessions, clothing, and tools of the trade can be protected. In our experience, most people are able to keep the things that they really need to keep or want to keep.
Q. How much does it cost to file bankruptcy?
A. Our fees vary depending on the complexity of your case but we do tailor our fees to your personal situation so it is best to discuss this with us directly. We strive to make our fees as affordable and manageable as possible.
Q. I am thinking about bankruptcy but I am concerned about the process. What can you tell me about it?
A. If you are considering bankruptcy, it is important to understand that you are not alone. Many people these days are faced with this situation and it is often caused in part by circumstances beyond their control. All of the professionals who work in the bankruptcy field including the trustees, judges, and lawyers are mindful of this and bankruptcy fillers are treated with dignity and respect throughout the process. Most of our clients tell us that they feel a tremendous sense of relief once the process is over with.
Q. I have other questions so will you discuss them with me by phone?
A. Sure. Feel free to contact us anytime at 651-439-2878 or send us an email.
