When you’re struggling to pay your monthly bills, finding the money to cover debts that are holding you back can be a challenge. If you are interested in clearing your financial slate, a bankruptcy declaration may be the right option for you.
We know that bankruptcy has a bad reputation, and the thought of declaring yourself bankrupt can feel embarrassing and shameful. But truth be told, there is nothing wrong with filing for bankruptcy if it can help you find financial freedom.
Check out our compilation of frequently asked questions regarding the bankruptcy declaration process below, and reach out to our office to set up a free consultation if your questions and concerns haven’t been addressed here.
Are all my assets going to be sold if I declare bankruptcy?
No, they aren’t, and this is a common misconception when people think of filing for bankruptcy. There are several types of bankruptcy you can file, and only Chapter 7 involves the liquidation and sale of your assets.
Even then, if there are certain things you’d like to retain and get current on, such as your house or your financed vehicle, you’ll have the opportunity to do so by structuring a repayment plan for those specific items.
What options do I have if I want to retain my assets?
That depends on which type of bankruptcy you are declaring. Both Chapter 11 and 13 allow you to formulate a plan of reorganization which details how you’ll repay your creditors, usually over a span of three to five years. See the question above to learn more about how you can keep your possessions while filing Chapter 7 bankruptcy.
Will I have to go to court to have my bankruptcy petition granted?
The only time you may have to go to court for your bankruptcy case is if you are declaring Chapter 11 bankruptcy. Here, you’ll need to attend a meeting of the creditors where you’ll discuss your plan of reorganization with a bankruptcy trustee and any creditors that choose to attend your hearing ( most do not). All other legal details and court visits can be handled by your attorney.
Is there a way to repay my debts over time instead of filing for bankruptcy?
Working with a credit repair lawyer could be a great way to figure out how to repay old debts, but if you are finding it difficult to make ends meet despite working multiple jobs and following a budget, chances are that a Chapter 11 or 13 bankruptcy declaration will be in your best interests so you can pay off your debts over a three-to-five-year period.
Work with a Vigo County Bankruptcy Lawyer
To learn more about your bankruptcy options, consult a Vigo County bankruptcy lawyer at Rowdy G. Williams Law Firm. Schedule your free consultation today by filling out the provided contact form at the bottom of this page or by calling our office at 1-812-232-7400.