12Law Arrow 12Law Arrow  Easy Questions  
12Law Arrow 12Law Arrow Instant Legal Documents
 
 
FINANCIAL & MARITAL

Cohabitation Agreement coming soon!
Separation Agreement coming soon!
No-Fault Divorce coming soon!
Bankruptcy coming soon!
 
 

Frequently Asked Questions about Personal Bankruptcy in Zip Code 35055

Frequently Asked Questions about Personal Bankruptcy in Zip Code 35055


Bankruptcy represents a longstanding commitment in this country to helping people get a fresh start.
 
- Tim Johnson


Bankruptcy is a legal procedure that allows an individual or company to eliminate debt and stop their creditors from harassing them.

What does "Chapter 7" and "Chapter 13" bankruptcy mean?

There are different types of bankruptcy, referred to as "chapters" because of their chapter location in the bankruptcy laws. For example, Chapter 7 refers to the seventh chapter in the Bankruptcy Codes. Bankruptcy Chapter 11 is for business reorganization, while Chapters 7, 12, and 13 can apply to families and individuals.

What is the difference between Chapter 7 bankruptcy and Chapter 13 bankruptcy?

Chapter 7 bankruptcy is known as a "fresh start "or "liquidation bankruptcy." It is used to sell off assets in an attempt to satisfy the outstanding debts. On the other hand, Chapter 13 bankruptcy does not require assets to be sold. Instead, the filer follows a payment plan which typically gives them several years to pay off a percentage of their debts based on their income.


What are the advantages and disadvantages of choosing to file Chapter 7 rather than Chapter 13 bankruptcy?

  • Under Chapter 7 bankruptcy, the basic principle is to sell off the majority of your assets and properties so that creditors can reclaim part of the money that is owed to them. Certain assets, such as a primary residence or a vehicle, can be declared exempt and may be retained even after Chapter 7 bankruptcy has been filed. Certain debts, such as taxes and student loans, may not be eliminated under Chapter 7 bankruptcy. By contrast, under Chapter 13 bankruptcy you may be able to keep all of your assets, and are only required to pay off a percentage of the debt over time.
  • You only qualify for Chapter 13 bankruptcy if you have a regular source of income and your debt is below a certain amount. This ensures that a restructured payment plan is workable. If you don't have the means to pay off your debt over time, then Chapter 7 bankruptcy may be the only option for you.

  • How does filing for bankruptcy help me deal with creditors?

    After you have filed your paperwork, the court clerk will inform all of your creditors that they may no longer contact you in pursuit of payment.

    What happens to my assets during Chapter 7 and Chapter 13 bankruptcy?

    If you file for Chapter 7 bankruptcy, you are required to make a complete list of all of your assets and properties. There are a limited number of assets that you may keep, depending on the laws of your state. If you file for Chapter 13 bankruptcy, you are able to keep all of your assets.


    Can I keep any of my current or old credit cards once I have filed for Chapter 7 or Chapter 13 bankruptcy?

    Your credit card company will decide if you can keep your credit cards after you file for bankruptcy.

    Can I apply for new credit cards after filing for bankruptcy?

    Credit card companies may perceive you to be a greater credit risk once you have filed for bankruptcy. This may cause them to offer you lower credit limits, higher interest rates, and additional fees and penalties. As an alternative, some companies may offer you a secured credit card (or prepaid card) in which you are required to pay a specific amount of money up front. That money acts as the credit limit for your credit card.

    Do I have to file for bankruptcy if I am in debt?

    If your debts are significantly higher than the value of your assets and income, then you might consider filing for bankruptcy.

    Do I have to disclose all of my assets and property when I file for bankruptcy?

    Yes. Full disclosure of all of your assets is required by the bankruptcy law. In fact, it is a felony to fail to list all of your assets or to transfer them to another party in an attempt to hide them.


    Does filing for bankruptcy require that I go to court?

    If you are able to resolve all issues between you and your creditors, it is not necessary to go to court.

    Will everybody know about my bankruptcy?

    Bankruptcy filings are public, but personal information is withheld. Your creditors and co-debtors will be given direct notice of your bankruptcy. If you have an ex-spouse who receives child support from you, he or she will receive a letter regarding your bankruptcy and what to do if child support cannot continue.

    If I am married, does my spouse have to file for bankruptcy too?

    If you and your spouse have co-signed debts together, then you can file for a joint-bankruptcy petition and eliminate or restructure the debt for both spouses. If the debts are only in your name, then you can file for bankruptcy individually.

     
    Personalize & Print a Free AL Last Will Create This Document
    Page 1
    Page 2
    Page 3
    Page 4
    Page 5
    Page 6
    Page 7
    Page 8
    Page 9
    Page 10
     
    Personalize & Print a Free AL Living Will Create This Document
    Page 1
    Page 2
    Page 3
    Page 4
    Page 5
    Page 6
    Page 7
    Page 8
    Related Legal Services near Zip Code 35055
    Niezer Emily
    409 1st Ave SW
    Cullman, AL 35055
    (256) 775-9947
    Attorneys
    Drake, Tommy
    419 2nd Ave SW
    Cullman, AL 35055
    (256) 739-9445
    Attorneys, Criminal Law Attorneys
    Floyd J Chad
    427 2nd Ave SW
    Cullman, AL 35055
    (256) 739-9300
    Criminal Law Attorneys,  Attorneys,  Family Law Attorneys,  Personal Injury Law Attorneys,  Divorce
    Hankey Shelbie G
    101 Main Ave NW
    Cullman, AL 35055
    (256) 736-8744
    Wills, Trusts & Estate Planning Attorneys,  Family Law Attorneys,  Real Estate Attorneys,  Personal
    Porter, William C PC
    1310 2nd Ave NW
    Cullman, AL 35055
    (256) 775-8363
    Attorneys, Employment Discrimination Attorneys, Labor & Employment Law Attorneys
    Andria Richter Law
    700 2nd Ave SW
    Cullman, AL 35055
    (256) 775-7757
    Attorneys
    Griffith Little & Lowry LLC
    409 1st Ave SW
    Cullman, AL 35055
    (256) 775-7707
    Attorneys
    Hames Law Firm
    427 2nd Ave SW
    Cullman, AL 35055
    (256) 739-7191
    Attorneys,  Family Law Attorneys,  General Practice Attorneys,  Legal Service Plans
    Baker Sara Attorney
    100 5th St SE
    Cullman, AL 35055
    (256) 737-7181
    Criminal Law Attorneys,  Attorneys,  Family Law Attorneys,  Adoption Law Attorneys,  Divorce Attorne
    McLeroy Law Firm LLC
    1626 1st Ave SW
    Cullman, AL 35055
    (256) 734-6994
    Personal Injury Law Attorneys, Attorneys
    Little, Brandon C
    405 2nd Ave SW
    Cullman, AL 35055
    (256) 734-6330
    Attorneys
    Williams Jr Roy W
    416 1st Ave SE
    Cullman, AL 35055
    (256) 739-5400
    Attorneys
    Haynes Michael D
    412 1st Ave SE # 100
    Cullman, AL 35055
    (256) 737-5068
    Criminal Law Attorneys, Attorneys, Legal Service Plans, Family Law Attorneys
    Crocker R Champ Atty
    207 2nd Ave SE
    Cullman, AL 35055
    (256) 739-5005
    Attorneys,  Criminal Law Attorneys,  Family Law Attorneys,  Personal Injury Law Attorneys,  Divorce
    Smith & Smith LLP
    328 1st Ave SE
    Cullman, AL 35055
    (256) 734-4721
    Attorneys
    Grimmett Cindy Sue
    1632 Town Sq SW
    Cullman, AL 35055
    (256) 739-4664
    Criminal Law Attorneys,  Attorneys,  Family Law Attorneys,  Accident & Property Damage Attorneys,  L
    Thompson And Thompson Attorneys
    111 4th St SE
    Cullman, AL 35055
    (256) 734-4591
    Accident & Property Damage Attorneys,  Attorneys,  Social Security & Disability Law Attorneys,  Gene
    Thompson, Seth B
    421 2nd Ave SW Cullman
    Cullman, AL 35055
    (256) 734-4591
    Social Security & Disability Law Attorneys,  Attorneys,  Social Security Services,  Real Estate Atto
    Parker And Parker PC
    215 Main Ave SW
    Cullman, AL 35055
    (256) 775-4444
    Accident & Property Damage Attorneys,  Bankruptcy Law Attorneys,  Child Custody Attorneys,  Divorce
    Parker, Stephen D
    720 2nd Ave SW
    Cullman, AL 35055
    (256) 775-4444
    General Practice Attorneys, Attorneys, Legal Service Plans
    Brock Nathan
    223 2nd Ave SW
    Cullman, AL 35055
    (256) 841-4331
    Attorneys, Family Law Attorneys, Business Law Attorneys, Wills, Trusts & Estate Planning Attorneys,
    Knight Perry D
    412 1st Ave SE
    Cullman, AL 35055
    (256) 734-4090
    Attorneys,  Wills, Trusts & Estate Planning Attorneys,  Corporation & Partnership Law Attorneys,  R
    Bland Harris & McClellan PC Attorneys
    401 2nd Ave SW
    Cullman, AL 35055
    (256) 734-4040
    Attorneys,  Family Law Attorneys,  Tax Attorneys,  Divorce Attorneys,  Civil Litigation & Trial Law
    Brock Nathan A
    401 2nd Ave SW # 103
    Cullman, AL 35055
    (256) 734-4040
    Attorneys
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US